Reverse Mortgage (HECM) Calculator 2026
Estimate how much you could borrow with an FHA reverse mortgage (HECM) in 2026 — the principal limit for your age, home value and interest rate, upfront costs, paying off an existing mortgage, and the first-year limit.
For information and education only — not financial advice. Results are estimates based on the numbers you enter; check important decisions with a qualified professional.
How to use
- 1Enter the youngest borrower's age (62+), your home's value and any mortgage you still owe.
- 2Enter the expected interest rate from a lender quote (or keep the default).
- 3See the estimated proceeds after costs and what's available in year one.
How it's calculated
Maximum claim amount = lower of home value and the 2026 HECM limit ($1,249,125). Principal limit = principal limit factor (HUD table, by age and expected rate; floor 3%) × maximum claim amount. Net = principal limit − existing mortgage − 2% upfront mortgage insurance − origination fee (2% of first $200,000 + 1% above, $2,500–$6,000) − other closing costs. Year-one access is capped at 60% of the principal limit, or mandatory obligations plus 10%.
Frequently asked questions
Who qualifies for a HECM?
Homeowners 62 or older living in the home as their main residence, with significant equity, who can keep paying property taxes, insurance and upkeep (a financial assessment applies). You must complete HUD-approved counselling first.
Do I ever have to repay it?
Not while you live in the home and keep up taxes, insurance and maintenance. The loan is repaid when the last borrower moves out, sells or dies — usually from the sale of the home. As FHA-insured, you or your heirs never owe more than the home is worth.
What are the ongoing costs?
Interest and an annual mortgage insurance premium of 0.5% of the balance are added to the loan each month, so the balance grows over time.