Reverse Mortgage
Turn home equity into retirement flexibility.
Lets homeowners 62 and older convert home equity into cash — as a lump sum, monthly payments, or a line of credit — without a monthly mortgage payment for as long as they live in the home. The most common version, the HECM (Home Equity Conversion Mortgage), is FHA-insured; the loan balance grows over time as interest accrues, and repayment is due when the borrower sells, permanently moves out, or passes away — the home itself secures repayment.
Program Highlights
- No monthly mortgage payments required while living in the home as a primary residence (property taxes, insurance, and upkeep still required)
- Funds can be taken as a lump sum, line of credit, monthly payments, or a combination
- Borrower retains title to the home
- Loan is non-recourse — you (or your heirs) will never owe more than the home's value at the time of repayment
- Must be age 62+ and the home must be the primary residence
- Existing mortgage balance can often be paid off using reverse mortgage proceeds, eliminating that payment
- Required HUD-approved counseling session before closing
Best For
- Homeowners age 62+ with substantial equity
- Retirees who want to eliminate a monthly mortgage payment
- Seniors funding healthcare, home modifications, or supplemental income
What You'll Need to Qualify
- Must be age 62+ and live in the home as primary residence
- HUD-approved counseling session required before closing
- Property taxes, insurance, and upkeep remain your responsibility
- Non-recourse: you or your heirs never owe more than the home's value
Guidelines vary by lender and borrower profile. All loans subject to underwriting approval. Not a commitment to lend.
Good to Know
a reverse mortgage reduces the equity left for heirs since the balance grows over time — it's worth discussing with family and a financial advisor alongside the HUD-required counseling session, both of which are part of making an informed decision, not just loan requirements.
Common Questions
Do I still own my home?
Yes — you retain the title; the lender places a lien similar to any mortgage, and the loan is repaid when you sell, move out, or pass away.
Will I or my heirs ever owe more than the house is worth?
No — HECM reverse mortgages are non-recourse loans, so neither you nor your heirs owe more than the home's value at repayment.
Do I still have to pay property taxes and insurance?
Yes — those remain your responsibility, along with basic home upkeep, even though there's no monthly mortgage payment.