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Reverse Mortgage Calculator (US)

Estimate the proceeds available from a HECM reverse mortgage based on your home value, existing mortgage balance, and age — plus how an undrawn line of credit grows over time.

$
$
years old
%
%
%
$
years
Available Principal Limit
$171,000
Total Upfront Costs
$18,000.00
Net Proceeds After Costs
$73,000
At age 72, with a Principal Limit Factor of 38% applied to a maximum claim amount of $450,000, you could access up to $171,000. After paying off your existing $80,000 mortgage and $18,000 in origination fees and upfront mortgage insurance, your net proceeds are $73,000. If left undrawn as a line of credit, it grows at roughly 7.75% a year.

Estimate only — actual Principal Limit Factors come from HUD's published HECM tables at the time of application and vary with both age and the expected interest rate.

Net Proceeds$73,000

Undrawn Line of Credit Growth

Projected growth of an undrawn HECM line of credit
YearGrowthBalance
1$5,862.85$78,862.85
2$6,333.71$85,196.56
3$6,842.39$92,038.95
4$7,391.92$99,430.88
5$7,985.59$107,416.47
6$8,626.94$116,043.41
7$9,319.79$125,363.20
8$10,068.29$135,431.49
9$10,876.91$146,308.40
10$11,750.47$158,058.87

A worked example

On a $450,000 home with an $80,000 mortgage balance, a 72-year-old borrower could access a principal limit of roughly $171,000. After paying off the existing mortgage and $18,000 in upfront costs, net proceeds come to roughly $73,000.

This is an estimate for educational purposes — actual Principal Limit Factors come from HUD's published HECM tables at the time of application.

Frequently asked questions

What is a reverse mortgage?

A reverse mortgage lets homeowners 62 or older convert part of their home equity into cash — as a lump sum, monthly payments, or a line of credit — without monthly mortgage payments. The loan is repaid when the borrower sells, moves out permanently, or passes away.

What is a HECM?

A Home Equity Conversion Mortgage (HECM) is the FHA-insured reverse mortgage program — the vast majority of reverse mortgages in the US. It comes with consumer protections, mandatory counseling, and a non-recourse guarantee: you (or your heirs) will never owe more than the home is worth.

Why does my available amount depend on my age?

The Principal Limit Factor (PLF) increases with age because the loan is expected to accrue interest for fewer years before repayment — older borrowers can typically access a larger percentage of their home's value.

Do I still own my home with a reverse mortgage?

Yes — you keep the title and remain the owner, but you must continue paying property taxes, homeowners insurance, and maintain the home. Failing to do so can trigger loan default.

What happens to a reverse mortgage when the borrower dies?

The loan becomes due. Heirs can repay the loan balance (often by selling the home) to keep it, or let the lender sell the home to satisfy the debt. Because HECMs are non-recourse, heirs are never on the hook for more than the home's value, even if the loan balance has grown larger.