For Buyers Age 62+

Explore a different way to purchase a home in retirement.

HECM for Purchase (H4P) is a HUD-regulated program with required independent counseling. Enter four numbers — see how it might fit your plan in under 60 seconds.

Estimates only · Not a commitment to lend · Borrower remains responsible for property tax, insurance, HOA, and upkeep

Your situation

Four numbers. The calculator handles the rest.

70

HECM eligibility starts at 62. Older = more home value the loan covers.

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$

Enter $0 if your current home is paid off.

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FL typical: 7–9% (commission + doc stamps + title).

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FHA UFMIP, origination, third-party. Often financed.

At your age & home value
$0.00
Monthly P&I Payment on New Home
No required principal & interest. You still pay tax, insurance, HOA, upkeep.
Required cash to close — of new home value
Net cash from your sale — after payoff & selling costs
Cash leftover after the move — pocketed at closing
Loading current rates…
Pulling the latest HECM PLF table.
Assumptions: Loading…

How HECM for Purchase actually works

HECM for Purchase (H4P) is a HUD-insured reverse mortgage you can use to buy a home — not just refinance one. Right-sizing buyers age 62+ use the proceeds from selling their current home as the down payment, then the H4P covers the rest with no required monthly principal & interest.

🏡 The core trade

You bring more cash up front (typically 50–65% of the new home's price), and in exchange the loan has zero required monthly P&I. Interest accrues against the loan balance instead of being paid each month.

📊 The PLF table

FHA publishes a Principal Limit Factor for every age + expected rate. Older borrower = higher PLF = more loan available = less cash needed at closing. Your spouse's age counts too if both are on title — the calculator uses the younger of the two.

🔒 What you still owe

Property tax, homeowners insurance, HOA fees, and basic upkeep. Falling behind on these is the only thing that triggers default. The loan only comes due when the last borrower moves out, sells, or passes — and the heirs keep any remaining equity.

💵 What "leftover cash" means

If your sale produces more cash than the H4P needs at closing, the surplus is yours — buy a smaller home and pocket six figures, fund a long-term care reserve, or roll it into investments. This is the right-sizing play most retirees miss.

Disclosure: All figures are estimates. Actual qualification depends on age verification, appraised value, FHA lending limit (currently $1,209,750), counseling, credit/financial assessment, occupancy intent, and current FHA PLF tables at the expected rate set at rate-lock. PLF data shown is sourced from current public market data and refreshes when our rate tracker updates. Borrower is responsible for property taxes, homeowners insurance, HOA fees, and basic property upkeep — failure to maintain these can trigger default. The loan becomes due when the last borrower no longer occupies the home as a primary residence. Counseling is required by HUD before application. Todd Hanley, NMLS #1013665, powered by United Direct Lending NMLS #1749719. Equal Housing Lender.

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Date & Time
Duration30 minutes
WithTodd Hanley, RICP®