Reverse Mortgage Calculator
A reverse mortgage lets homeowners 62+ tap home equity without selling. This calculator estimates your principal limit and what you'd net after costs.
How to use this calculator
- Enter home value.
- Enter youngest borrower's age.
- Your results appear instantly below and update as you change the numbers.
How this calculator works
The HECM principal limit is a percentage of home value that grows with the youngest borrower's age — roughly 40% at 62 rising toward 60% by the mid-70s. From that, upfront costs (closing costs plus the 2% mortgage insurance premium) are subtracted to get your net available amount, which can be drawn as a line of credit, monthly payments, or a lump sum.
Frequently asked questions
Do I lose my home with a reverse mortgage?
No — you keep the title and can live there as long as you keep paying property taxes, insurance, and maintenance. The loan is repaid when you sell, move out permanently, or pass away.
Who inherits the house?
Heirs can keep the home by paying off the loan balance (usually by refinancing or selling), or let the lender sell it — any remaining equity after the loan is paid goes to the estate.
What are the costs?
Upfront costs include the 2% mortgage insurance premium, origination fee, and closing costs — typically 2-5% of home value. An independent counseling session is required by law.
Disclaimer: Results are estimates for general information only and do not constitute financial, tax, or legal advice. Figures reflect 2026 rules and may change. Always confirm current limits and consult a qualified professional before making decisions. Official figures: IRS.gov · 2026 limits per IRS tax inflation adjustments.