Reverse Mortgage

A Reverse Mortgage is a loan that allows a Senior Homeowner to access the cash equity in their home to be used for anything, such as paying for medical needs, daily living expenses, home repairs, travel or simply enhances the quality of their retirement years.


Who can qualify?

  • Homeowners age 62 or better
  • Must have sufficient equity in your home
  • Must complete Reverse Mortgage Counseling

How much can I qualify for?

The amount that you can qualify for depends on your age, the value of your home, and current interest rates. A full or partially funded set aside of proceed may be required for payment of property charges for the loan. In general, the older you are and the more valuable your home, the more money you’re eligible to receive.

When is it paid back?

The loan must be paid back when:

  • You sell the home
  • You haven't occupied the home for more than 12 months
  • The final surviving borrower passes

How much will I owe?

The total amount that you will owe depends upon to total amount of the money you received, as well as the interest on the money received. However, the amount will never be more than the value of the home at the time the loan is repaid. It does not matter how long you live or if your home depreciates, you will never owe more than the house is worth.

Important Facts

  • A Reverse Mortgage will not affect Social Security or Medicare benefits
  • Reverse Mortgage proceeds are NOT subject to federal income taxes*
  • Reverse Mortgage recipients keep ownership of their home
  • A Reverse Mortgage may be subject to credit or income qualification
  • A Reverse Mortgage is a FHA loan program

*Please consult your tax advisor regarding tax implications

What does a Reverse for Purchase not allow?

  • No seller or lender concessions of any kind
  • No personal loans or cash advances
  • No bridge loans
  • No subordinate financing
  • Not for purchase of second home

Learn more about Reverse Mortgages from these industry resources:

Additional program information: Available for Seniors age 62 and older. Home must be occupied as principal residence, required taxes and insurance paid and make all necessary repairs to avoid deterioration of the property. When the house is sold, the loan, along with any interest and fees, are paid to the lender. Any remaining equity belongs to the heirs. This website has not been reviewed, approved or issued by HUD, FHA or any other governmental agency