How this option works
A reverse mortgage is a type of loan that allows eligible homeowners to access home equity under program-specific rules. For an FHA-insured Home Equity Conversion Mortgage (HECM), borrowers generally must be at least 62 and meet counseling and other requirements.
Who may want to explore it?
Older homeowners considering whether a reverse mortgage fits their housing, financial, and longer-term plans should review the details carefully with qualified advisers.
Important details to consider
- The loan balance generally grows over time as interest and fees accrue, reducing home equity.
- Borrowers remain responsible for property taxes, homeowners insurance, maintenance, and occupancy requirements.
- HECMs and other reverse mortgage products have distinct terms; eligibility and suitability are not guaranteed.