Reverse Mortgage
A loan for homeowners 62 and older that converts home equity into cash with no required monthly payments.
What does reverse mortgage mean?
Instead of paying the lender, the homeowner receives money and the balance grows over time, repaid when the home is sold or the owner moves out or dies. Most reverse mortgages are FHA-insured HECMs, and they reduce the equity left to heirs.
Related terms
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