Reverse Mortgage Overview

A reverse mortgage lets you tap into the equity of your home, but includes ongoing responsibilities to maintain the property and pay expenses like taxes and insurance.

If you’re age 62 or older, you can receive money from your mortgage company by borrowing against the value of your home through a reverse mortgage. The payments you receive along with accrued interest and other charges increase the loan’s balance and decrease your equity in the property.

Most reverse mortgages are insured by the Federal Housing Administration (FHA), as part of its Home Equity Conversion Mortgage (HECM) program. As long as you live in the home as your

primary residence, maintain the home, and pay homeowner’s insurance, property taxes, and homeowner’s (sometimes referred to as “HOA” fees) and/or condo association dues (if applicable), the loan does not have to be repaid.

If the property is sold or the last surviving borrower no longer occupies the property or passes away, the loan becomes due and payable. Usually, the home is sold to repay the loan and, if FHA-insured, FHA pays for amounts not fully covered by the sale proceeds.

 
 

Responsibilities

Not understanding your obligations under a reverse mortgage can lead to serious consequences, including foreclosure. That’s why borrowers are required to take HUD-approved counseling (which details the loan’s commitments and conditions) before being approved for the reverse mortgage. More

Options to Avoid Foreclosure

If you’re in default on your reverse mortgage or worried about meeting your obligations, there are options. More

Get Help

You can find contact information for reverse mortgage servicers on this page. More

Frequently Asked Questions

If you are unsure of your responsibilities with a reverse mortgage, read through our “Frequently Asked Questions” or contact your reverse mortgage servicer for information and assistance. More

Other Resources

Find other resources, additional information and assistance—especially if you’re struggling to make your property-related payments (such as taxes, hazard insurance, HOA dues). More

GET HELP

Learn about what help is available and who to contact.

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LEARN ABOUT YOUR
RESPONSIBILITIES

Understand your reverse mortgage responsibilities.

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FREQUENTLY ASKED
QUESTIONS

Find the answers to common questions concerning your reverse mortgage.

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