Find out whether staying home with a reverse mortgage and in-home care makes more financial sense than selling and moving to a retirement facility.
Program & Borrower
Choose the product type to apply the correct age and LTV rules.
â
Property & Mortgage
Estimated current market value of your home.
$
Total current mortgage balance to be paid off. Enter 0 if none.
$
Your Financial Resources
Total savings across all retirement and savings accounts (401k, IRA, bank savings, etc.).
$
Combined monthly income from Social Security, pensions, annuities, and other sources.
$
Room rental, family assistance, remote/part-time work, or any other supplemental monthly income. Applied 100% toward care costs.
$
Reverse Mortgage Results
đYour home value exceeds the 2026 FHA HECM limit of $1,249,125. The HECM calculation uses the capped value. Amount above cap: .
Estimated Principal Limit
Max LTV (Age-Based)
Effective Home Value (Capped)
Current LTV
Estimated Cash Available
Cash to Close Required
HECM vs. Jumbo Comparisonâŧ
FHA HECM
Jumbo
Min Age
62
55
Max LTV
Principal Limit
Est. Cash-Out
Value Cap
$1,249,125
None
Green = higher estimate. Actual amounts depend on lender, rates, and fees.
đPlease complete Tab 1 (Reverse Mortgage) first so we can determine your qualification status and available proceeds.
Current Mortgage Payment
Enter your current monthly principal & interest payment. If qualified for reverse mortgage, this will be eliminated.
$
đ Monthly Living Expenses (click to collapse)
Complete these for an accurate affordability picture â income doesn't go entirely to care.
âŧ
= /mo
Check your last tax bill or county assessor website. Required for HECM â you remain responsible regardless of reverse mortgage status.
$
= /mo
Check your insurance declaration page or annual renewal notice. Required for HECM â you remain responsible regardless of reverse mortgage status.
$
Food, utilities, car, phone, medications, subscriptions, and other regular monthly bills.
$
Total Monthly Living Expenses
This amount is subtracted from your income before applying it toward care costs.
đ°
Gross retirement income: /mo.
After living expenses of /mo, /mo is available toward care costs. Enter your monthly living expenses above for an accurate affordability picture.
Gross income: /mo retirement + /mo additional = /mo.
After living expenses of /mo, /mo is available toward care costs. (Additional income applies to aging in place only.) Enter your monthly living expenses above for an accurate affordability picture. (Additional income applies to aging in place only.)
In-Home Care Needs
Select the level of care you expect to need at home.
Enter the hourly rate your care provider charges.
$
How many hours per week of in-home care do you anticipate? (Typical: 20â40 hours)
Home Safety Upgrades
$
Reverse Mortgage Proceeds Allocation
1
Reverse Mortgage Cash Proceeds
2
Home Safety Upgrades (deducted)
3
Net RM Cash Reserve for Care
Monthly Cost: With vs. Without Reverse Mortgage
Metric
đĻ Without RM
â With RM
Monthly Costs (Everything Going Out)
In-Home Care Cost
Mortgage Payment
$0 â Eliminated
Living Expenses (taxes, ins., bills)
Total Monthly Burden
Monthly Income (Everything Coming In)
Retirement Income
Additional Income
Monthly Gap
Years Reserves Last
Without RM: Uses savings only as reserve. With RM: Uses RM net cash + savings as reserve. Both scenarios apply the same income offsets.
Monthly Cost Breakdown â Aging in Place
In-Home Care Cost
Current Mortgage Payment (continues)
Total Monthly Care Burden
Monthly Offsets (money working for you)
Retirement Income Toward Care
Additional Income (room rental, family, work)
Total Monthly Offsets
Monthly Gap (Cost â All Offsets)
How Long Can You Afford Aging in Place?
RM Cash Reserve (after upgrades)
Savings / Retirement Accounts (backup)
Total Reserves Available
Monthly income fully covers care costs!No drawdown needed
Years Reserves Cover Shortfall
10-Year Total Care Cost (3% inflation)
đ Since you didn't qualify for a reverse mortgage, you may want to explore selling your home and using the proceeds to fund care. Continue to Tab 3 to see that scenario.
đPlease complete Tab 1 first. Your home value, equity, savings, and income carry forward here.
đThis section uses your home value of , mortgage balance of , savings of , and retirement income of /mo from Tab 1.
Tax Filing Status
Your filing status determines the capital gains tax exemption on the sale of your primary residence.
Retirement Facility Options
Select the type of care facility you would move into.
âšī¸Covers basic Activities of Daily Living (ADLs) and meals. Typical for seniors who need some assistance but not round-the-clock medical care.
âšī¸Standard rate for secured, specialized dementia units with trained staff and structured programming.
âšī¸The current floor for shared skilled nursing rooms. Includes 24/7 medical supervision and rehabilitation services.
âšī¸High-end private clinical care and end-of-life services. Includes private rooms, palliative care, and full medical support.
Enter the flat monthly cost from your specific facility quote.
$
Home Sale & Capital Gains
Home Sale Price
Mortgage Payoff
Real Estate Agent Fees (5%)
?Standard commission split: 2.5% to buyer's agent + 2.5% to seller's agent = 5% of sale price. This is deducted from your proceeds at closing.
Net Equity (after payoff & fees)
Capital Gains Breakdown
Single Filer
Married Joint
Net Equity (after payoff & fees)
Primary Residence Exemption
â$250,000
â$500,000
Taxable Gain
Est. Tax (~32.5%)
?Combined federal + state capital gains estimate using ~32.5% blended rate. Your actual rate may differ.
Net Sale Proceeds
Facility Cost Projection ( Filing)
Total Available Funding (Proceeds + Savings + Income)
Net Sale Proceeds
Savings & Retirement Accounts
Monthly Retirement Income (toward facility)
Facility:
Total Monthly Income Offset
Monthly Gap After Income
Years Your Funding Will Last
10-Year Facility Cost (3% inflation)
Balance After 10 Years
đPlease complete all three previous tabs to see the full side-by-side comparison.
đComplete comparison using your inputs across all tabs. All projections include 3% annual inflation. Note: The Aging in Place column assumes reverse mortgage qualification â mortgage payment is eliminated and RM proceeds are included as reserves.
Metric
đ Age in Place
đĸ Sell & Move
Monthly Costs & Income
Care / Facility Cost
Mortgage Payment
Paid off at sale ($0)
Total Monthly Offsets â
Monthly Out-of-Pocket Gap
Reserves & Funding
Lump Sum Reserves
Capital Gains Tax
$0 (keeping home)
Real Estate Agent Fees (5%)
$0 (keeping home)
Home Equity Retained
$0 (sold)
10-Year Projection (3% Inflation)
Total Care Cost Over 10 Years
Years Funding Will Last
Balance After 10 Years
Lifestyle Factors
Stay in Your Home
â Yes
â No
Family Can Visit / Live With You
â Unrestricted
Limited by facility rules
Maintain Community & Social Ties
â Maintained
New community required
24/7 Professional Staff On-Site
Only if scheduled
â On-site
Home Maintenance
Your responsibility
â Facility handles it
â Note: The Age in Place offset includes /mo in additional income (room rental, family assistance, or part-time work). This is not included in the Sell & Move offset â a retiree moving to a facility would no longer have access to this income.
Bottom Line
đ
Important Notes:
âĸ Aging in place allows family or children to stay nearby and even live with you â most assisted living and hospice facilities don't allow this.
âĸ With a reverse mortgage, you still pay property taxes and homeowner's insurance.
âĸ Facility costs vary significantly by region. The averages used are national estimates.
âĸ All projections include 3% annual cost inflation.
âĸ Consult qualified financial, tax, and elder care professionals before making decisions.
Disclaimer: This calculator is for informational and educational purposes only. It does not constitute financial, legal, tax, or healthcare advice, nor does it guarantee reverse mortgage approval or specific proceeds. Actual costs, tax liabilities, and eligibility depend on individual circumstances, location, lender guidelines, and current rates. Capital gains tax estimates use a simplified ~32.5% blended rate and may not reflect your actual tax situation. Facility cost averages are national estimates and vary by region. All 10-year projections assume 3% annual cost inflation. Please consult qualified financial, tax, and elder care professionals before making any decisions.