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Reverse Mortgage Calculator

Circulus provides calculation and education tools only - not financial advice. Figures are estimates based on assumptions and published benchmark data, not a prediction of your future. Speak with a licensed financial adviser about your own situation.

Reverse Mortgage Calculator

See how a reverse mortgage against your home compares your remaining equity over time - worked against a published lending rate and your own assumptions about property growth.

Your home & loan
Maximum available at your age: $255,000 (30% of home value)
%
Heartland Bank's published variable rate, effective 20 Jan 2026
%
Adjust to a rate you feel is realistic - not a forecast
A one-off establishment fee of $920 is added to your opening loan balance, consistent with Heartland Bank's published reverse mortgage fee schedule. No ongoing repayments are required - interest compounds onto the loan balance for as long as you live in the home.
Your maximum available
Maximum loan-to-value
30%
Rises with age - a standard industry safeguard
Maximum you could draw
$255,000
Based on your home value today
Your equity over time
In 10 years
Age 80
$986,122
Property $1,199,009 − loan balance $212,887
In 15 years
Age 85
$1,114,849
Property $1,424,047 − loan balance $309,198
In 20 years
Age 90
$1,242,241
Property $1,691,321 − loan balance $449,079
Property value is projected forward at your assumed growth rate. Your loan balance compounds at the loan interest rate above, starting from your draw amount plus the $920 establishment fee. Remaining equity is the difference between the two at each point in time.
Worth knowing
No-negative-equity protection:reverse mortgage lenders in New Zealand typically guarantee you (or your estate) will never owe more than your home is worth when it's sold - but the exact mechanism differs by lender and product, and in some cases this protection is an optional paid feature rather than automatic. This has not yet been confirmed against Heartland's current terms and must be verified - and the wording below adjusted accordingly - before this tool is used with a real client.

A reverse mortgage reduces the equity available to you or your estate later, in exchange for funds today. Whether that trade-off suits your circumstances is a decision for a licensed financial adviser, made alongside independent legal advice - not something this calculator decides for you.