A sharp rise in home values, combined with a shortage of single-family homes, has driven up home prices around the country, leaving senior homeowners with more than $11 trillion in home equity. If you’re planning to downsize, you can tap that equity right away and add the proceeds to your savings. But if you want to stay in your home, there’s another option: Take out a reverse mortgage line of credit as early as possible, homeowners are eligible at age 62. 

The line of credit will create a buffer during market downturns, providing a source of funds to pay expenses until your portfolio recovers. You won’t have to pay the money back as long as you remain in your home. In 2022, the maximum amount you can borrow using the government insured Home Equity Conversion Mortgage, the most popular kind of reverse mortgage, is $970,800, up from $822,375 in 2021. 

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