Reverse Mortgage Definition and Glossary (A-Z)

September 1, 2025     75 comments

Reverse Mortgage (Definition) A reverse mortgage is a home loan for borrowers typically aged 62 and older that allows you to convert a portion of your home equity into tax-free cash without required monthly mortgage payments. You retain title and are responsible for continuing to pay property taxes and homeowner's insurance. Interest accrues and is added to your balance and can be repaid at any time. Most borrowers repay the loan when they sell their property, move out, or pass away. HECM reverse mortgages are insured by the Federal... Read Full Article

Top 10 Reverse Mortgage Counseling Agencies (Free & Online Availability)

September 1, 2025     17 comments

HUD requires every homeowner considering a HECM to complete independent counseling before the loan process can begin.  A HUD-approved counselor will explain how the program works, your responsibilities, and any alternatives so you can decide whether a reverse mortgage is the right fit. We provide a list of approved counseling agencies to help you get started.  HUD identifies five national agencies that serve borrowers everywhere, and some areas also have local in-person options. Most homeowners choose phone counseling.  It is offered through toll-free numbers, meets all HUD requirements, and is... Read Full Article

Reverse Mortgage Occupancy Requirements Explained

September 1, 2025     76 comments

We live with my mother-in-law and were present throughout the process of her getting a reverse mortgage.  The broker is fully aware that we live there with her, help keep up the property, and pay living expenses.  He told us if she ever needed to go to a nursing home, if she was in the home at least once a month, they would not recall the loan.  What I am reading here seems contradictory to what we were told.  We were also told about having 12 months to sell or... Read Full Article

Reverse Mortgage Income Requirements in 2026

September 1, 2025     50 comments

Understanding Reverse Mortgage Income Requirements Welcome to our 2026 guide on reverse mortgage income requirements.  This article explains the financial assessment underwriting guidelines, specifically the minimum residual income requirements established by HUD. These requirements play a crucial role in the lender’s application process, ensuring that you, as a borrower, can comfortably manage ongoing property-related expenses, such as property taxes, homeowners insurance, and maintenance costs, after securing a reverse mortgage. We will provide clear, easy-to-follow tables that detail the minimum residual income needed based on your family size and the region of the... Read Full Article

History of the Reverse Mortgage – 1969 to Present Day Facts

September 1, 2025     4 comments

Bringing it to the Senate Reverse mortgages have undergone many changes in their short 57-year lifespan (depending on who you ask).  As the story goes, a small, local bank wrote the first reverse mortgage in 1961 to a woman in Portland, Maine.  The bank owner wanted to help the wife of his high school football coach stay in her home after her husband passed away. From there, the product took off and continues to help more older Americans remain in their homes as... Read Full Article

3 Types of Reverse Mortgages Explained: Which One Is Right for You?

September 1, 2025     5 comments

If you're exploring ways to use your home's equity to improve your financial security in retirement, it's helpful to know that there are three main types of reverse mortgages, each designed for different needs. In this article, we'll explain: Home Equity Conversion Mortgages (HECM): The most popular, federally insured option. Proprietary Reverse Mortgages: Also known as "jumbo" reverse mortgages, these are ideal for homes with higher values. Single-Purpose Reverse Mortgages: A cost-effective choice for specific financial goals. We'll break down the key features of each, highlight how they can support... Read Full Article

Banks That Offer Reverse Mortgages in 2025 | Compare Rates & Reviews

August 11, 2025     no comments

In 2025, only a small number of regional and specialty banks offer reverse mortgages, including University Bank, The Federal Savings Bank, and Magnolia Bank. Most large banks left the market years ago, so many borrowers choose specialized non-bank lenders for better rates and service. Do Banks Offer Reverse Mortgages in 2025? While large national banks like Wells Fargo, Bank of America, and Chase are familiar names for traditional mortgages, they no longer offer reverse mortgages.  Most exited the market over a decade ago, citing regulatory changes, market risk,... Read Full Article

ARLO™ HELOC: The Alternative to a Reverse Mortgage

August 1, 2025     no comments

As interest rates remain high, many homeowners nearing or in retirement are seeking ways to access their home equity without refinancing their historic low-rate mortgages.  That’s where a Home Equity Line of Credit (HELOC) for seniors & retirees can be a smart solution. This modern HELOC offers fast access to funds, flexible repayment, and a fully online application process designed specifically for older homeowners—without the need to sell or give up your home. What is the ARLO™ HELOC? The ARLO HELOC is a home equity line of credit built for... Read Full Article

HECM Explained: 2026 Home Equity Conversion Mortgage Requirements, Limits & Benefits

July 13, 2025     12 comments

All Reverse Mortgage has specialized in the HECM program for more than twenty years.  As a HUD-approved direct lender, we originate HECM loans under the same federal rules described in this guide, and we believe homeowners deserve clear, factual guidance from a knowledgeable source.  That has always shaped the way we explain the reverse mortgage program, starting with our first customer, Marian Branson. What Is a HECM (Home Equity Conversion Mortgage)? A HECM is the FHA-insured reverse mortgage for homeowners age 62 or older that allows you to access part... Read Full Article

The Realtor’s Guide to Reverse Mortgages for Home Purchase

April 15, 2025     2 comments

Why Realtors Should Understand Reverse Mortgages for Home Purchase The HECM for Purchase program (Home Equity Conversion Mortgage) is an FHA-insured loan that allows homebuyers aged 62 and older to purchase a new primary residence with no monthly mortgage payments.  This benefits your senior buyers, helps your sellers move their listings, and ultimately helps you close more transactions. Yet many real estate professionals are unaware of this powerful tool—or they’ve heard myths that just aren’t true.  When used correctly, a reverse mortgage for purchase can close just as quickly... Read Full Article