Reverse Mortgage Frequently Asked Questions

You’ll find the answers to many common reverse mortgage questions here. Need to know more? Contact Us today. We’re happy to help.

Can a reverse mortgage be refinanced?

What is a Home Equity Conversion Mortgage (HECM)?

What has to be repaid when the loan becomes due?

How can I use the proceeds?

Will a reverse mortgage affect my government benefits?

Are interest rates fixed or variable?

What is a reverse mortgage?

How can I receive the funds from a reverse mortgage?

How is a reverse mortgage different from a traditional home equity loan or line of credit?

Will I have to pay any fees?

How much money can I get?

Will I be taxed on my reverse mortgage proceeds?

What if I still owe money on a first or second mortgage?

When will the principal and interest charges become due?

What if one of the co-borrowers passes away or must move out for health reasons?

What are the basic requirements for a reverse mortgage?

Can I use a reverse mortgage to purchase a home?

Can a reverse mortgage be refinanced?

Yes, refinancing is possible. This option may be to your advantage if your home increases in value, making more funds available.

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What is a Home Equity Conversion Mortgage (HECM)?

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

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What has to be repaid when the loan becomes due?

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

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How can I use the proceeds?

Use the proceeds for the things you need and want. For example: establishing a “rainy day” fund for the unexpected, paying…

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Will a reverse mortgage affect my government benefits?

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

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Are interest rates fixed or variable?

Reverse mortgages are available with either fixed or variable rates. Borrowers who elect a fixed-rate…

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What is a reverse mortgage?

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…

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How can I receive the funds from a reverse mortgage?

You have a number of choices for how you receive your funds:

  • Lump sum
  • Monthly…
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How is a reverse mortgage different from a traditional home equity loan or line of credit?

A reverse mortgage offers certain advantages:

  • With a traditional home equity loan or home equity line of credit, you…
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Will I have to pay any fees?

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

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How much money can I get?

The specific amount depends on several factors, including:

  • Your…
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Will I be taxed on my reverse mortgage proceeds?

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

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What if I still owe money on a first or second mortgage?

You may still be eligible. Proceeds from your reverse mortgage would first be used to pay off any existing mortgage(s).…

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When will the principal and interest charges become due?

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

  • A…
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What if one of the co-borrowers passes away or must move out for health reasons?

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

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What are the basic requirements for a reverse mortgage?

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

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Can I use a reverse mortgage to purchase a home?

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

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Verified Reviews

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Most Helpful-Right Decision I know that I made the right decision using Larry McAnarney. He was most helpful in going through the process of securing a reverse mortgage for me. I had spoken to at least three competitors of Larry, but none were as friendly and to the point as Larry was. Larry made the whole experience of a reverse mortgage pleasant. I would highly recommend Larry to anyone considering a reverse mortgage.

Harold P — Oct 15, 2014

Pleasure Working with Larry It was a pleasure working with Larry. He explained everything just as it worked out from start to finish. I wish I had more school teachers that could explain things and work with me as well as he did. I would definitely recommend him to anyone interested a reverse mortgage. 5 stars plus

Robert R — May 17, 2017

I Trust Larry I was very happy I chose Larry to help me with this loan. He was very helpful and answered all my questions. He answered all my concerns and I trusted him. I would recommend him to any one who needs or wants a reverse mortgage loan. I can call him anytime if I need to and I know he will answer my call.

Dorothy B — May 14, 2015

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This material has not been reviewed, approved or issued by HUD, FHA or any government agency. The company is not affiliated with or acting on behalf of or at the direction of HUD/FHA or any other government agency.

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