Unlock Your Home's Equity to Secure Your Retirement

A reverse mortgage is a specialized loan for homeowners aged 62 and older that allows them to convert a portion of their home equity into cash. Unlike a traditional mortgage, you don't make monthly mortgage payments. Instead, the loan balance grows over time, and the loan is repaid when the last surviving borrower sells the home, moves out permanently, or passes away.

Yes. You retain the title and ownership of your home throughout the life of the loan. The lender does not take ownership. You are simply borrowing against your equity, just like a traditional mortgage, and you remain responsible for paying property taxes, homeowners insurance, and maintaining the property.

The primary borrower must be at least 62 years old. You must own your home outright or have a low enough mortgage balance that can be paid off by the reverse mortgage proceeds at closing. The home must also be your primary residence, and you must undergo a financial assessment to ensure you can continue paying property taxes and insurance.

No. FHA-insured reverse mortgages (HECMs) are "non-recourse" loans. This means that neither you nor your heirs will ever owe more than the home is worth at the time it is sold to repay the loan, even if the home's value declines. If the loan balance exceeds the home's value, federal mortgage insurance covers the difference.

You have flexible options: a lump sum payment (subject to limits in the first year), fixed monthly payments for a specific term or for life, a line of credit that you can draw from as needed, or a combination of these options. We help you choose the best structure for your financial goals.

Generally, the money you receive from a reverse mortgage is considered loan proceeds, not income, and is therefore tax-free. However, we always recommend consulting with your tax advisor or financial planner for advice specific to your situation.

As long as you meet the basic requirements—living in the home as your primary residence, keeping up with property taxes, maintaining homeowners insurance, and keeping the home in good repair—you cannot be forced to move or lose your home, regardless of how long you live or how large the loan balance becomes.

You can still get a reverse mortgage if you have an existing mortgage. In fact, a common use of a reverse mortgage is to pay off the existing traditional mortgage. The reverse mortgage funds must first be used to pay off that existing debt, which instantly frees up cash flow since you no longer have a monthly mortgage payment.

Reverse mortgage proceeds generally do not affect regular Social Security or Medicare benefits. However, they may impact eligibility for needs-based programs like Medicaid or Supplemental Security Income (SSI). We advise discussing your specific scenario with a benefits specialist.

Yes, absolutely. You retain control of your home. You can sell it at any time to relocate, downsize, or move into an assisted living facility. When you sell, the reverse mortgage loan balance is repaid from the sale proceeds, and any remaining equity belongs entirely to you.