This adjustable-rate mortgage (ARM) calculator will show you your monthly payment for an ARM loan based on your loan amount, loan terms and interest rate.
Reverse Mortgage Calculator
Estimate your reverse mortgage proceeds without personal information
Choose purchase or refinance, then enter your basic loan terms to see either estimated loan coverage and proceeds (purchase) or available home equity and total line of credit (refinance). Our reverse mortgage calculator requires no personal information and is designed to help homeowners 62 and older plan their retirement finances with confidence.
Reverse mortgages are available for borrowers 62 and older. Available to borrowers as young as 55 in select states and programs only. Higher minimum age requirements may apply.
This calculator is being provided for educational purposes only. The results are estimates based on information you provided and may not reflect CrossCountry Mortgage, LLC product terms. The information cannot be used by CrossCountry Mortgage, LLC to determine a customer’s eligibility for a specific product or service.
What is a reverse mortgage?
Reverse mortgages are designed to allow older homeowners to access the equity in their primary residences. Monthly loan payments are optional because the loan is repaid when the borrower sells the home, moves out permanently or passes away. Any remaining equity after the loan is settled goes to the borrower or their heirs.
To be eligible for a reverse mortgage you must meet certain requirements:
- Be 62 years or older for federally-insured Home Equity Conversion Mortgages (HECMs) or 55 years or older for proprietary loans (varies by state and product)
- Live in the home as your primary residence
- Have a substantial amount of equity in the home
- Have sufficient financial resources to stay current on property taxes, homeowners insurance and maintenance
- Complete a counseling session with a HUD-approved agency for a HECM
Refinance reverse mortgage
The most common reverse mortgage is a refinance. It allows you to convert part of the equity in your primary residence into tax-free* cash — without selling your home or making monthly mortgage payments. You still own and live in your home but must cover taxes, insurance and maintenance. Instead of paying the lender each month, the lender pays you through one of several disbursement options, such as a lump sum, line of credit or monthly payment.
Reverse mortgage for purchase
A second loan type is the reverse mortgage for purchase. It allows you to buy a new primary residence by combining a one-time down payment with – reverse mortgage loan proceeds in one transaction. It’s ideal for relocating or downsizing. Monthly mortgage payments are not required as long as you remain in the home, but you must stay current with taxes, insurance and maintenance.
How the reverse mortgage calculator works
Begin by choosing the type of reverse mortgage you want using the drop-down menu: Purchase or refinance. Then follow the instructions below, based on the type of loan you select.
Calculate reverse for purchase
Start by entering the total purchase price of your new primary residence.
Next, choose the property’s state from the drop-down menu.
Finally, enter the age of the youngest borrower.
The margin will be calculated automatically.
Click the calculate button.
The display will show you the loan proceeds and the estimated cash investment† you’ll need for your purchase.
Calculate reverse for refinance
Start by entering the value of your primary residence.
Next, enter your current mortgage balance.
Choose the property’s state from the drop-down menu.
Finally, enter the age of the youngest borrower.
The margin will be calculated automatically.
Click the calculate button.
The display will show your estimated available home equity, your maximum first year line of credit and your total line of credit.
FAQs
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It depends on how you want to tap into your home equity. A reverse mortgage calculator is built for homeowners 62 and older who want to access equity without taking on a monthly mortgage payment. A HELOC calculator estimates a line of credit you’ll pay back over time with monthly payments, which can be tougher to manage on a fixed retirement income.
If steady cash flow and no required monthly payments matter most, start with the reverse mortgage calculator. If you’re comfortable making payments and want shorter-term access to funds, a HELOC calculator may be the better fit.
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Your goal decides the answer. A reverse mortgage purchase calculator is designed for buyers 62 and older who want to use a reverse mortgage to help pay for a new home. It shows how much the loan could cover and how much you’d bring to closing. An affordability calculator looks at your income, debts and down payment to estimate a traditional home price range.
If you’re planning to buy with a reverse mortgage, use the purchase calculator. If you’re weighing a standard mortgage, the affordability calculator is the right starting point.
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Each tool answers a different question. A reverse mortgage calculator estimates how much equity you can pull from your home and how you might receive it, whether that’s a lump sum, monthly payments or a line of credit. A retirement income calculator looks at savings, Social Security and other income sources to project your overall monthly cash flow in retirement.
For a complete picture, it helps to use both. Start with the retirement income calculator to see where you stand, then use the reverse mortgage calculator to see how home equity could fill any gaps.
Additional mortgage calculators
Buying or refinancing a home can be confusing – we want to make beginning the journey as simple as possible. We’ve developed easy-to-use tools that will help you compare your options, calculate your payment, see how much mortgage you can afford, understand your debt-to-income ratio, and discover answers to many of your homebuying questions.
Use our free, interactive calculators to start getting answers and take the next financial steps toward your goals:
*CrossCountry Mortgage, LLC does not provide tax advice. Consult a tax advisor for further information.
†This down payment range assumes closing costs will be financed into the loan. The information being displayed is for illustrative purposes only. Actual cash required may vary and is based on age of youngest borrower, interest rate, home value, and other factors. Please contact CrossCountry Mortgage, LLC for details about credit costs and terms.