What is a Reverse Mortgage? – Eligibility
Who is Eligible for a Reverse Mortgage?
You are eligible for a reverse mortgage if:
- You or any other owner of the home (such as a spouse) are at least are 62 years of age or older.
- You own your home and use it as your primary residence.
- The house is single family, multi-family (up to 4), or an approved condominium or manufactured home.
- Your home is in good condition prior to taking out the loan.
- You must not be delinquent on any federal debt.
- You must discuss the program with a HUD approved counselor from a HUD approved agency.
- You must meet with a HUD approved counselor before obtaining a reverse mortgage
to determine if the product is suitable for your needs. The counseling sessions
will help you understand how the loan works and different alternatives that are available
- All prospective borrowers must undergo a financial assessment to make sure that
they can afford to pay property taxes, homeowner’s insurance and the funds to maintain
their home in good condition going forward.