How a Reverse Mortgage Works

Reverse mortgage borrowers always retain ownership and title to their home. It's yours just as it was before, but now you can benefit from the equity that's been building in your home for years.  A reverse mortgage can only be on your primary residence and no repayment is due until the last borrower passes away or permanently leaves the home.

You will meet with a RM Specialist either at your home or our office.  We will go over the program in detail and make sure to answer all your questions.  Meeting with us doesn’t commit you to a RM, so feel free to go ahead make an appointment.

You will need to do RM counseling by a HUD approved counselor which can be done over the phone or in-person.  HUD put this in place to make sure we explain the program to you.  We provide you with a list of counseling agencies and it should take about 30 minutes.  After we receive the counseling certificate, we can start the application process and order the appraisal and title work, etc. We make this a stress free process, so sit back, relax and let us do the work! On average the process should take less than 30 days!

The Facts About a Reverse Mortgage

  • A Reverse mortgage is a specialized loan for seniors 62 and older
  • A reverse mortgage allows seniors to access a portion of the equity in their home.
  • Borrowers maintain title and ownership of their home.
  • Proceeds from a reverse mortgage are tax free, but borrowers should seek tax advice on how proceeds may affect government needs-based programs such as Medicaid and Medicare.
  • It is not a government grant, but a loan that is repaid in the future when the last borrower dies or permanently leaves their residence
  • A reverse mortgage is eligible only for the borrower's primary or principle residence
  • HUD counseling (from an independent third party) is required prior to the borrower incurring any costs associated with the loan