LoansExpert

New for 2026 · 55+

Retirement Housing Planner

You're 55 + and sitting on home equity. Should you downsize, take a reverse mortgage, or open a HELOC? We model all three over your chosen horizon so you can compare cost, monthly cash, and the equity you'll hand to heirs.

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How we model each path

  • Downsize: sell the primary home (5 % realtor + closing), buy a smaller home at 60 % of current value (1.5 % costs), invest the net proceeds at a 5 % conservative return, draw at a 4 % safe withdrawal rate.
  • Reverse mortgage: age-based LTV cap (20 % at 55 → 55 % at 85+), no monthly payments, balance compounds at the reverse-mortgage rate.
  • HELOC: capped at 65 % of home value minus existing mortgage, interest-only draws at the rate you enter, stress-tested against your income for qualification risk.

Related: reverse mortgage calculator · rate stress simulator.

Projections are directional — final numbers depend on lender underwriting, real estate commissions, tax situation, and market conditions at the time you act. Book a call with a licensed broker to translate the comparison into a concrete plan.