If you're 62 or older, a reverse mortgage converts part of your equity into cash with no monthly mortgage payment. It's a real option for the right situation — and an expensive one for the wrong situation. Both sides are on this page. See what you could access
A Home Equity Loan gives you flexibility today and security for tomorrow. Here's how it works from start to finish.
How much depends mostly on your age, your home's value, and current rates. Older borrowers can access a larger share.
Your current loan must be cleared first, using the proceeds. What's left over is yours to draw.
Interest and insurance premiums are added to what you owe each month rather than billed to you.
When the last borrower sells, moves out for over a year, or passes away, the loan comes due — usually from the sale.
You'll always know your balance, and you're never required to make monthly payments.
Move the sliders for a ballpark range. Real figures depend on the expected rate the day you lock, your exact age, and a full appraisal.
After paying off your existing mortgage and estimated upfront costs.
Non-recourse — you never owe more than the home is worthA reverse mortgage isn't free money. It's an expensive loan with real obligations. Anyone who tells you only the good parts isn't doing their job.
Interest plus insurance premiums are added monthly. Over fifteen or twenty years the amount owed can multiply several times over.
Origination fees, an upfront mortgage insurance premium, appraisal, title, and closing costs typically run into five figures.
Property taxes, homeowners insurance, HOA dues, and maintenance stay yours. Falling behind on any of them can trigger foreclosure.
If you move out for more than twelve consecutive months — including into long-term care — the loan becomes due.
They can repay the balance, or 95% of appraised value if that's less, to keep the home — or sell it. They'll usually have a limited window to act.
Leaving a spouse off the loan lowers the age used and can put their right to stay at risk. Raise this before anything is signed.
Still unsure after reading these? That's the right moment to talk to someone who does this every day.
No. You keep the title and the lender holds a lien, exactly as with a regular mortgage. But the loan can be called due if you stop paying property taxes or insurance, let the home fall into disrepair, or stop living there as your primary residence — and that can lead to foreclosure.
You personally won't. HECM loans are non-recourse, so neither you nor your heirs ever owe more than the home's value at the time it's sold. The mortgage insurance premium you pay is what funds that protection. The balance can still exceed the home's value on paper — it just isn't collectible beyond the property.
When the loan comes due they choose: repay the balance (or 95% of appraised value, whichever is less) and keep the home, sell it and keep any remaining equity, or hand it back and walk away owing nothing. They generally have a limited window to decide and can request extensions. Tell them the loan exists — surprises here go badly.
Social Security and Medicare aren't affected, because loan proceeds aren't income. Needs-based programs like Medicaid and SSI are a different story — money that sits in your account past the month you receive it can count as an asset. Talk to a benefits counsellor before drawing a large sum.
Yes to both. You can sell at any time and settle the balance from the proceeds, and reverse mortgages can be refinanced — though the costs of doing it again are significant, so it usually only makes sense after a large jump in home value or a big drop in rates.
On a refinance of your primary residence you generally have three business days after closing to cancel without penalty. Use them. Nothing about this product should require a same-day decision, and pressure to sign quickly is a warning sign.
No. Everything is built, managed, and supported for you. LOSuccess handles the heavy lifting - technology, optimization, branding, visibility, and marketing systems - so you can focus on originating, relationships, and growth.