How It Works

A reverse mortgage is a unique FHA-Insured loan that enables older homeowners (62+) to convert a portion of the equity in their homes into cash – without having to sell the home, give up title/ownership, or take on a new monthly mortgage payment.
 

How Much Do I Qualify For?

There are 3 factors that go into determining how much someone qualifies for, they are:

  • Age of the youngest borrower
  • Home value
  • Interest rate

How Can I Receive the Money?

  • Lump sum taken at closing
  • Monthly advances
  • Line of credit, or
  • Combination of all three

Eligibility Requirements

  • At least one borrower on title must be age 62 or older
  • The home must be your principal residence and meet standards set by the U.S. Department of Housing and Urban Development (HUD) on property type/condition
  • Property types include: single-family homes, 2-4 unit properties, condominiums/townhouses, and manufactured homes (some additional requirements for condos and manufactured)

Existing Mortgages

Using a reverse mortgage to pay off or take the place of an existing mortgage may a solution for you. Of the proceeds available from the reverse mortgage all existing mortgages or liens must be paid off first, freeing up the burden of monthly payments.

 

*Please Note: The homeowners are responsible for the payment of property taxes, homeowner insurance, and the maintenance of the property.