See if You Can Unlock the Power of Your Home’s Equity Today
Discover Financial Flexibility with EquitySelect
Access your home’s equity, if you qualify, with customizable payment options that suit your lifestyle.
Access More Funds. Keep Payments Low. Do More With Your Home Equity.
Traditional
Bank HELOC
Qualified for $33,000
Payment: $260
Qualified for $200,000
Capped Monthly
Payment of: $260
The above scenario is based on the following:
Age: 74 | Current home value: $950,000 | Current mortgage balance: $250,000
Current total mortgage payment: $1,979 | Monthly income: $4,500
Flexible Tailored Solutions
Why Choose the EquitySelect loan?
Equity Select may give you more control compared to a traditional HELOC and options for managing your retirement finances, with minimum monthly payments that adjust based on your balance while keeping your monthly mortgage payments manageable.
EquitySelect can give you access to the funds you need with monthly payment plan options that adjust to your loan balance – with options designed to work for you.
*Cap is determined at the time of your application and is based on the monthly payment plan selected.
40-Year Capped Monthly Payment (again, you should disclose the balloon payment at the end here)
5 monthly payment options available.
EquitySelect can give you access to the funds you need with payment plan options that adjust to your loan balance. Just a new smart way to borrow, with options designed to work for you.
*Cap is determined at the time of your application and is based on the payment plan selected.
Long-Term Stability
40-Year Capped Payment and Non-Recourse Protection
EquitySelect is built with a 40-year capped payment and non-recourse protection, borrowers can move forward knowing they have:
- Capped monthly payments locked in for up to 40 years
- Designed to support long-term retirement planning
- Non-recourse protection ensures you or your heirs never owe more than the home is worth
- Keeps monthly obligations manageable, even in a rising rate environment
Choose the Payment Schedule That Works For You
Flexible Payment Options
EquitySelect gives you flexibility without compromise. Whether you’re looking to ease cash flow or take a more aggressive paydown, EquitySelect gives you options (provided you pay the minimum amount due):
Monthly Mortgage Payments
start at just 1% of the annual loan balance
5 Payment Options
available
7 Year Draw
for added convenience
Pay More Whenever You Want Without Penalties
Compare Your Options:
EquitySelect vs. Other Products
EquitySelect stacks up against FHA Reverse Mortgages and traditional HELOCs, offering a clear comparison of payments, terms, qualifications, and more.
See how EquitySelect stands out with its lower interest monthly mortgage payments, extended terms, and borrower-friendly features.
Scroll to the right to see >
| Product |
|
FHA Reverse Mortgage LOC | HELOC |
|---|---|---|---|
| Minimum Monthly Payments | As low as an annual 1% | Optional | Interest Only the first 5-10 years (then principal and interest) |
| Term | 40 Years | N/A | 15-30 years |
| Pre-payment Penalty | None | None | Pre-payment penalties can be charged in some cases - make sure to ask your lender |
| Counseling | Online Video | HUD-approved in-person or over the phone counseling required | None |
| Qualifications | First position loan and must be primary residence and have equity | First position loan and must be a homeowner age 62+ and use the home as primary residence and have equity | Second position loan and qualify based on credit score and income |
| Credit Requirements | 650 | Must prove ongoing expenses can be paid | Based on lenders requirements |
| Annual Fees | None | Ongoing FHA annual insurance | Annual fee to keep the loan open |
Interest Rate is based on Secured Overnight Financing Rate (SOFR) Index + Margin (APR). APR excludes loan fees, points and similar charges relating to opening, renewing, or continuing the account.
Quick and Transparent Process
Your ES Timeline
EquitySelect offers the ease of flexibility with monthly payment options as low as 1% of your loan balance and a 40-year term that won’t recast. With no prepayment penalties and a protected line of credit, you can access your home’s equity on your terms.
Application with a Product Explainer Video and Acknowledgement
This is the starting point of your EquitySelect HELOC journey. You complete an application with details about your financial situation and property. You also watch a product explainer video to learn how the EquitySelect HELOC works, followed by signing an acknowledgment to confirm you have reviewed the terms.
Appraisal and Title Ordered
At this stage, a property appraisal is scheduled to determine the current market value of your home, ensuring it meets the requirements for the EquitySelect HELOC. Additionally, a title search is conducted to verify there are no liens or issues with your property ownership that could impact your loan.
Submitted to Underwriting
Your application and supporting documents are submitted to the underwriting team. They carefully review your financial information, property value, and other relevant factors to ensure you meet the eligibility criteria for the EquitySelect HELOC.
Approved!
Congratulations! Your EquitySelect HELOC application is approved. This means the lender confirms you meet the qualifications. You receive a formal approval notification outlining the terms of your loan. Please note that an approval is not guaranteed.
Clear Outstanding Conditions
Before moving to closing, you may need to provide additional documentation or address specific conditions required by the lender, such as proof of insurance or updated financial records. Once these are resolved, you are ready to move forward.
Closing
You meet with a notary or closing agent to sign the final loan documents and review all terms of your EquitySelect HELOC. This step finalizes the agreement between you and the lender, and any closing costs are outlined here.
Funding
After closing, the EquitySelect HELOC funds become available to you. You can now access your line of credit and use it as needed for your planned expenses or projects.
*The example provided is a 75-year-old with a home value of $800k and borrowing $275k. The initial minimum monthly payment may be as low as $231 with a capped required monthly payment of $405 over 40 years. These monthly payments do not include taxes and insurance, which will need to be paid separately by the borrower. In this example, if the borrower only makes the minimum payment for the full duration of the loan, the balloon payment would be $2,609,630 at the end of 40 years. This was determined by using a 3% home price appreciation over 40 years. We cannot guarantee appreciation will be 3%; this is an assumption based on the actual long-term historical U.S. home price appreciation average of over 4% between 1992 and 2025. EquitySelect is a non-recourse loan, meaning the homeowner will never owe more than the home is worth. However, the home may still be foreclosed upon if loan obligations are not met. The APR in the example above is 9.8% as of June 5, 2025.
