Reverse Mortgages: The Standard Home Equity Conversion Mortgage

A reverse mortgage can provide you with a way to gain access to your home's equity without having to worry about making payments on the mortgage. The standard home-equity conversion mortgage is a popular program that is offered through the FHA. Here are the basics of the home equity conversion mortgage and how it works.

Home-Equity Conversion Mortgage

With this program, you can borrow money from your home's equity. You will be able to access the money by receiving regular monthly payments from the lender, or you can utilize a line of credit. Once you get this money, you are free to live in the house as long as you want without ever making any payments back to the lender. The loan is going to be repaid when you sell the house or when you and your spouse pass away.


If you want to take advantage of this loan program, you have to be at least 62 years old. You also have to have a house that is completely paid off, or has a very small loan balance. This program is also available only for your primary residence. You will also have to meet with a certified mortgage counselor to go over the details of this program before you can qualify.

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