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 to you.
  • 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.