HELOC or HECM Loan Comparison Calculator


The first step is to fill basic information about your home.

Home Value: In this field enter your best estimate of the current market value of your home. If you've have a recent appraisal, use this figure. Otherwise, here are some resources that can give you a good idea of your home's market value:
  • your local tax office
  • local real estate agents
  • real estate ads for similar homes in your neighborhood
  • Zillow.com
Outstanding Mortgage: This is the outstanding balance of your present home mortgage(s) that will be paid off with proceeds from the new loan. You can get this information from your lending bank. You can also include any lump sum loan withdrwals you think you will take out at loan closing (to pay off credit card debt, for example). Remember, the larger the upfrontloan disbursement, the more interest will accrue from the start of the loan.
Available Equity: This field is automatically computed based on the information you input above. The figure represents the net proceeds you could expect to receive if you sold you home.
Projected Home Appreciation: % / year This is your best estimate of how much your home will appreciate (or depreciate) on an annual basis over the term of the loan. This federal government site provides usefull tools to help you assess home price trends in your area.
Monthly Draw for Living Expenses: Enter in this field the amount you estimate you will need to withdraw each month to help meet your daily living expenses (e.g. $1,000 per month).
Projected Loan Term (months): Enter the number of months you expect to remain in your home - i.e. the number of months you expect the loan to be in place.
Inflation Adjustment*: % / year Enter zero if you intend to withdraw a standard dollar amount (e.g. $1,000) each month. However, if you would like to "ratchet up" withdrawals to account for the rising cost of living, enter the annual percentage increase you think will be needed.


Information about HELOC These fields are where you enter basic information about the home equity line of credit (HELOC) under consideration.

Loan to Value LTV: %
Available Loan Amount:
Closing Costs:
Interest Rate: % / year

2b. HECM

Information about HECM Data for this section will come from a reverse mortgage calculator. This is because reverse mortgages are quite complex involving factors like borrowers' ages and geographic location. We recommend that you use one of these calculators: 1   2   3 and then print out the "Loan Summary" page to get the necessary input information.

Available Loan Amount:
Closing Costs:
Interest Rate: % / year
LOC Growth Rate: % / year


Simply press the button to obtain the comparison results.


Results of your comparison calculation.

Summary of calculation will be present after pressing calculate button.