What Is the HECM Lending Limit in 2026?

HUD’s official table sets the 2026 HECM maximum claim amount at $1,249,125, which means home value above that threshold does not fully increase HECM-calculated borrowing power.

2026 figure: FHA/HUD announced the HECM maximum claim amount for 2026 is $1,249,125 (verify on the official HUD MCA table and your loan paperwork). Official reference: HUD: HECM maximum claim amount by calendar year and HUD.gov HECM.

Why the limit matters in California

Many coastal and metro homes appraise above the MCA. HECM math still helps— but proprietary/jumbo options sometimes unlock more for the right borrower—jumbo reverse mortgage.

A client I worked with in San Diego recently assumed a $1.8M appraisal would map directly into HECM proceeds, and their first reaction was surprise when we reviewed the MCA cap effect. After we compared a HECM and jumbo structure side by side, they told me the clarity saved them from choosing the wrong product too quickly. After 15 years of doing this in California and Arizona, I can tell you this is one of the most common high-value-home misunderstandings.

HUD data updates the maximum claim amount annually, which is why timing around case-number assignment year can materially affect planning on high-value properties.

MCA is not your loan amount

Principal limits depend on age, rates, and program—principal limit factor and how to calculate principal limit.

Annual changes

Limits can change year to year—always confirm the current published number at closing.

Frequently asked questions

Does a higher appraisal always raise my HECM proceeds?

Not beyond how MCA and PLFs interact—your illustration shows the truth.

Should I automatically pick jumbo if I’m above the limit?

No—compare total cost and features—HECM vs jumbo.

Do condos use the same limit?

MCA still matters; condo approval is a separate hurdle—condo guide.

What about Arizona second homes?

HECM generally requires principal residence—second home.

Next steps

Use the free reverse mortgage calculator and take the free readiness assessment. For MCA + product comparison on your address, use the contact page or about page.

This material is not from HUD or FHA and has not been approved by HUD or any government agency. All reverse mortgage loans are subject to credit and property approval.