How to Use the Reverse Mortgage Payout Calculator
A Home Equity Conversion Mortgage (HECM) — the FHA-insured reverse mortgage program — lets homeowners age 62 and older convert part of their home equity into monthly income while continuing to live in the home. Under a tenure payment plan, the lender pays a fixed monthly amount for as long as the borrower lives in the home, with the loan balance repaid when the home is eventually sold.
This calculator estimates your monthly tenure payment from your home's value and your age. Older borrowers typically qualify for a higher monthly payment, since payments are expected to run for a shorter remaining period.
This is a simplified estimate — actual HECM offers depend on HUD's official Principal Limit Factor tables, current interest rates, and lender fees, so use this as a rough guide rather than a loan quote.
Frequently Asked Questions
Reverse mortgage payouts are based on your remaining life expectancy — the older you are when you take out the loan, the higher your available monthly payment tends to be, since payments are expected to be made over a shorter period.
No. Actual HECM amounts are set by HUD's Principal Limit Factor (PLF) tables, current interest rates, and lender fees. This calculator uses a simplified estimate to give you a rough idea of the scale of a tenure payment.