Reverse Mortgage Frequently Asked Questions

A HECM is a reverse mortgage loan that's insured by the Federal Housing Administration (FHA).

You’ll repay the loan balance, any fees that have been added, and the accrued interest. Homeowners (or their heirs) usually…

Use the proceeds for the things you need and want. For example: refinancing your existing mortgage(s) to improve cash flow; consolidating…

The funds from a reverse mortgage generally do not affect regular Social Security or Medicare benefits. However, needs-based benefits, such as Medicaid…

A reverse mortgage is a home-secured loan that’s exclusively for homeowners and homebuyers age 62 and older. It allows borrowers to convert some of…

A reverse mortgage offers certain advantages:

• With a traditional home equity loan or home equity line of credit, you…

The specific amount depends on several factors, including:

• Your…

With the exception of a fee for government-required reverse mortgage counseling, most of the fees associated with a reverse mortgage can be financed…

Yes. For many homeowners age 62 and older who are looking to refinance their mortgage(s) or consolidate debt to reduce their monthly bills, a reverse…

Typically, reverse mortgage loan funds are not subject to income tax. Contact your tax advisor for additional details.

The other borrower continues to own and live in the home — and enjoy all the benefits of their reverse mortgage.

The loan must be paid in full when one of the following occurs:

•  A “maturity event” —…

To be eligible for a reverse mortgage, you’ll need to meet the requirements set by the federal government:

Yes, with the HECM (Home Equity Conversion Mortgage) for Purchase loan, qualified borrowers can use their loan proceeds…