What Is the HECM Loan Limit?

The HECM loan limit is the highest home value the FHA will use when calculating reverse mortgage proceeds.

The current national limit is $1,209,750.

If your home is worth less than that, the full value counts toward your loan.

Homes worth more than the limit are still eligible — but only the first $1,209,750 of value is used to calculate how much you can borrow.

Why It Matters

• Below the limit: You qualify for the full HECM benefit.
• Above the limit: You still qualify, but your proceeds are based on the capped amount.
• Either way: You can always explore higher-value programs like HomeForLife to access more equity.

What Affects How Much You Can Borrow

Several factors determine your total proceeds:

• Age of youngest borrower – Older borrowers usually qualify for more.
• Interest rates – Lower rates mean higher proceeds.
• Current mortgage balance – Any remaining balance reduces available funds.

If your home’s value rises later, you can refinance to access additional equity.

For Homes Worth More Than the FHA Limit

Even if your home is worth more than the FHA limit, you still have options!

Introducing HomeForLife – South River Mortgage’s new reverse mortgage alternative.

HomeForLife offers:

• No federal lending cap
• No upfront mortgage insurance
• Flexible credit and income requirements
• Options for younger homeowners

[See How HomeForLife Compares →]

Frequently Asked Questions

Still have questions? We’ve got answers.

What’s the FHA limit right now?

The FHA limit for 2025 is $1,209,750. It may adjust annually based on housing trends.

What happens if my home is worth more?

You’ll still qualify, but only up to the limit.

For example, if your home is worth $1.5 million, your HECM is calculated as if it were worth $1,209,750.

You can explore proprietary loans like HomeForLife to tap the rest.

What’s the “Principal Limit Factor”?

It’s the percentage of your home’s value you can borrow, based on age and current interest rates.

As you get older, that percentage increases.

Next Step: Get Your Personalized Quote

Whether your home is under or over the FHA limit, you have options.

Our licensed specialists will help you see exactly how much equity you can access and which program fits you best.

Call Now at (844) 230-6679

Or…

Get My Free Reverse Mortgage Quote →