A reverse mortgage is a unique loan usually secured against your home equity. Unlike traditional mortgages, you do not remit monthly payments to the lender. Instead, you will receive monthly payments or a lump sum of cash from the lender to help cater for your expenses.
You can use the freed-up funds for home renovations, travel, vacations, and other purposes as you deem suitable. However, you will remain obligated to pay homeowners insurance, property taxes, and HOA as usual. Moreover, the lender expects you to repair and maintain the property accordingly.
A reverse mortgage becomes due only when the borrower passes on. Heirs are not eligible to take over the loan, meaning the lender can claim the home. Since the house acts as collateral, the mortgage can also become due when you sell the home or move out permanently.
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 for purchase scenario.