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| Features |
|
HELOC | Reverse Mortgage | Traditional Sale |
|---|---|---|---|---|
| Stay in your home | Yes, as a renter | Yes | Yes | No, you move out |
| Access your equity | Lump sum, most of it | Partial, as a loan | Partial, as a loan | Full, after costs |
| Adds new debt or payments | No, you pay rent | Yes, the loan plus interest | Yes, interest compounds | No |
| Credit score requirement | Not based on credit | Good credit needed | Limited check | Not required |
| Age and income requirements | None | Income verified | Usually 62 or older | None |
| Speed to cash | Weeks | Several weeks | 1 to 2 months or more | Months, if it sells |
| Risk of losing the home | Low, lease in place | Yes, if you cannot repay | Yes, if you breach the terms | You leave by choice |
| Ongoing upkeep and repairs | Landlord handles major repairs | Still yours | Still yours | No longer yours |
Recommended
- Stay in your home
- Yes, as a renter
- Access your equity
- Lump sum, most of it
- Adds new debt or payments
- No, you pay rent
- Credit score requirement
- Not based on credit
- Age and income requirements
- None
- Speed to cash
- Weeks
- Risk of losing the home
- Low, lease in place
- Ongoing upkeep and repairs
- Landlord handles major repairs
HELOC
- Stay in your home
- Yes
- Access your equity
- Partial, as a loan
- Adds new debt or payments
- Yes, the loan plus interest
- Credit score requirement
- Good credit needed
- Age and income requirements
- Income verified
- Speed to cash
- Several weeks
- Risk of losing the home
- Yes, if you cannot repay
- Ongoing upkeep and repairs
- Still yours
Reverse Mortgage
- Stay in your home
- Yes
- Access your equity
- Partial, as a loan
- Adds new debt or payments
- Yes, interest compounds
- Credit score requirement
- Limited check
- Age and income requirements
- Usually 62 or older
- Speed to cash
- 1 to 2 months or more
- Risk of losing the home
- Yes, if you breach the terms
- Ongoing upkeep and repairs
- Still yours
Traditional Sale
- Stay in your home
- No, you move out
- Access your equity
- Full, after costs
- Adds new debt or payments
- No
- Credit score requirement
- Not required
- Age and income requirements
- None
- Speed to cash
- Months, if it sells
- Risk of losing the home
- You leave by choice
- Ongoing upkeep and repairs
- No longer yours












