Question 1

Who owns the home with a reverse mortgage?

Accepted Answer

You do. You keep title to your home. The lender records a lien, just as with a traditional mortgage, but does not take ownership.

Question 2

Can I lose my home?

Accepted Answer

The loan can become due if you no longer live in the home as your primary residence, or if you fail to keep property taxes and homeowners insurance current or maintain the property. Meeting those obligations keeps the loan in good standing.

Question 3

What happens when I die?

Accepted Answer

The loan becomes due and payable. Your heirs may sell the home and keep any remaining equity, refinance to keep it, or return the property to the lender.

Question 4

What happens to my heirs?

Accepted Answer

Heirs are generally given time to decide and are not personally responsible for a balance above the home's value on a non-recourse HECM loan.

Question 5

Do I still pay taxes and insurance?

Accepted Answer

Yes. Property taxes, homeowners insurance, HOA dues where applicable, and home maintenance remain the homeowner's responsibility.

Question 6

Can I sell the home later?

Accepted Answer

Yes. You may sell at any time. The loan balance is repaid from the sale and any remaining equity is yours.

Question 7

Can I refinance a reverse mortgage?

Accepted Answer

In many cases, yes — for example if home values or available proceeds have changed meaningfully. Program requirements apply.

Question 8

What credit score is required?

Accepted Answer

There is no traditional minimum credit score. A financial assessment reviews your history of paying property charges and your ability to keep up with them.

Question 9

Can I get a reverse mortgage if I still owe money?

Accepted Answer

Yes, and it is very common. The existing mortgage is paid off with the proceeds, which is how the required monthly mortgage payment is eliminated.

Question 10

Can I use a reverse mortgage to buy a home?

Accepted Answer

Yes. A HECM for Purchase lets an eligible buyer combine a down payment with reverse mortgage proceeds to buy a home without a required monthly mortgage payment.

Question 11

What is the difference between a reverse mortgage and an equity-sharing arrangement?

Accepted Answer

A reverse mortgage is a loan secured by your home with a balance that accrues interest. An equity-sharing arrangement is generally not a loan: an investor provides funds today in exchange for a share of the home's future value. Eligibility, cost, ownership and repayment work differently, and one may fit your situation far better than the other.

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