{
  "name": "Reverse Mortgage (HECM) Cost Parameters \u2014 The Equity Ledger",
  "description": "Grounded parameters used to estimate reverse mortgage (HECM) proceeds and costs: FHA lending limit, mortgage insurance, origination fee formula, current expected rate. Estimate only \u2014 a HUD-approved counselor gives exact figures.",
  "asOf": "2026-08",
  "source": [
    "HUD/FHA HECM program rules",
    "CFPB",
    "Freddie Mac PMMS (rates)",
    "Bankrate (national averages)"
  ],
  "creator": "https://theequityledger.com/#org",
  "license": "https://creativecommons.org/licenses/by/4.0/",
  "parameters": {
    "minBorrowerAge": 62,
    "fhaMaxClaimAmount": 1209750,
    "upfrontMipPct": 2.0,
    "annualMipPct": 0.5,
    "originationFeeFormula": "2% of first $200k of home value + 1% above, capped at $6,000",
    "originationFeeCap": 6000,
    "counselingRequired": true,
    "nonRecourse": true,
    "currentExpectedRatePct": 7.68,
    "ongoingObligations": [
      "property taxes",
      "homeowners insurance",
      "maintenance/upkeep",
      "primary-residence occupancy"
    ],
    "defaultRisk": "Falling behind on taxes/insurance/upkeep, or ceasing to occupy the home as a primary residence, can trigger default and foreclosure."
  },
  "disclaimer": "Educational only. Not individual financial advice. The Equity Ledger does not originate loans."
}