Reverse Mortgage Calculator
Wondering "how much can I get from a reverse mortgage?" Enter your home value, the youngest borrower's age, and an expected rate to estimate your HECM principal limit, net proceeds after costs, and what each payout option (lump sum, tenure, term, line of credit) could look like. No name, email, or phone — everything runs in your browser.
Frequently Asked Questions
How is a reverse mortgage amount calculated?
A Home Equity Conversion Mortgage (HECM) starts with the Maximum Claim Amount (MCA) — the lower of your appraised home value and the 2026 FHA HECM lending limit of $1,249,125. HUD's Principal Limit Factor (PLF), set by the youngest borrower's age and the loan's expected interest rate, is multiplied by the MCA to get the Principal Limit (the gross pool of funds). Any existing mortgage plus closing costs are subtracted to get your net proceeds.
What is the principal limit factor (PLF)?
The PLF is the percentage of your home's claim value you may borrow, published by HUD. Older borrowers and lower expected rates produce higher PLFs — for example, at a ~5.5% expected rate the published factor runs roughly 38% at age 62, 47% at age 75, 51% at age 80, and 57% at age 85. This calculator estimates your PLF from published HUD methodology; your lender uses the exact table value on the day your case number is issued.
Who qualifies for a reverse mortgage?
You must be at least 62, own your home outright or have a low balance that the HECM proceeds can pay off, live there as your primary residence, and complete a counseling session with a HUD-approved counselor. Lenders also do a financial assessment to confirm you can keep paying property taxes, insurance, and maintenance.
What are the upfront costs of a reverse mortgage?
Three main costs: the initial mortgage insurance premium (2% of the maximum claim amount), the HUD origination fee (2% of the first $200,000 plus 1% of the amount above $200,000, capped at $6,000), and third-party closing costs (appraisal, title, recording — typically $3,000–$5,000). Interest also accrues on the loan balance plus a 0.5% annual mortgage insurance premium.
What is the 60% first-year withdrawal rule?
At closing, you can generally only take 60% of your principal limit in the first year (a bit more if mandatory obligations like paying off an existing mortgage require it). The remainder stays available as a growing line of credit. Choosing a term or tenure payout plan is another way to spread the proceeds.
Do I still own my home with a reverse mortgage?
Yes — you keep the title. No monthly mortgage payments are required while you live in the home as your primary residence, but you must keep paying property taxes, homeowners insurance, and maintenance. The loan is repaid when you sell, move out, or pass away, and it is non-recourse: you or your heirs will never owe more than the home is worth at repayment.