As a homeowner who is at least 62 years old, you have the option to convert your home equity into cash to cover living expenses, healthcare costs, or home renovations through a reverse mortgage. However, you also have other options like home equity lines of credit (HELOCs).
Here is a brief overview of these three loan products and their differences to help you choose the one that suits your needs.
Reverse mortgages do not require monthly payments to the lender; instead, the lender pays you, and they recover the money when the home is eventually sold. Any remaining equity goes to you or your heirs.
- HELOCs are similar to credit cards, allowing you to borrow from your credit line as needed and only pay interest on what you use. HELOCs typically have lower variable interest rates than credit cards because they use your home as collateral.
Reverse Mortgage Calculator
Get the desired amount as a line of credit or a lump sum. Our reverse mortgage calculator utilizes three key variables - estimated home value, remaining loan amount, and age of the homeowner - to determine how much tax-free cash you can access. By inputting these variables into the calculator, you can get an estimate of the potential funds that may be available to you through a reverse mortgage.
Please update the values in the form
and click calculate.
Disclaimer - The information provided by this calculator is for illustrative purposes only and is not guaranteed to be accurate. The default figures shown are hypothetical and may not be applicable to your unique situation. It is important to consult with a licensed reverse mortgage professional before making any decisions based on the results obtained from this calculator. This calculator does not have the ability to pre-qualify you for any specific loan program. Qualification for loan programs may require additional information, such as credit scores and cash reserves, which are not gathered in this calculator. MakeFloridaYourHome does not guarantee the accuracy or reliability of the information obtained from this calculator. Please consult with a qualified professional for personalized advice and information regarding your specific reverse mortgage scenario.
With over 50 years of mortgage industry experience, we are here to help you achieve the American dream of owning a home. We strive to provide the best education before, during, and after you buy a home. Our advice is based on experience with Phil Ganz and Team closing over One billion dollars and helping countless families.