Welcome to Money from Home: A Guide to Understanding Reverse Mortgages. This publication explains the features and benefits of two types of reverse mortgages — Fannie Mae’s Home Keeper® Mortgage and the Housing and Urban Development-insured Home Equity Conversion Mortgage (or HECM) — to help you determine if these are viable options for addressing your financial needs.
Today’s seniors, who make up the fastest growing segment of the population, can now enjoy the benefits of having their home pay them back for all the years they spent paying their mortgages.
Reverse mortgages enable eligible homeowners to access the money they have built up as equity in their homes. They are primarily designed to strengthen seniors’ personal and financial independence by providing funds without a monthly payment burden during their lifetime in the home. If you are a homeowner age 62 or older, you might be interested in talking with a lender or counselor about reverse mortgages. These products offer a way to borrow against your home equity to create a regular and tax-free source of income or a significant source of ready cash, all while you continue living in your home. And, you don’t repay any part of the loan as long as you occupy your home and don’t violate any terms and conditions of the reverse mortgage — unlike regular home loans that you begin paying back as soon as the loan is made.