HECM Vs. HELOC in Retirement Planning
Both a traditional home equity line of credit (HELOC) and a home equity conversion mortgage line of credit (HECM) can serve as a source for contingency funds in retirement, but they cannot be combined on a given home. Important differences must be considered between the two options.
* Proprietary reverse lines of mortgage are also available as an alternative to a HELOC. Like all reverse mortgage products, payments are optional. Depending upon the age of the borrower and the value of property, these lines can be as large as $4 million dollars and are much easier to qualify for than any HELOC. Call us for details.