Not a government agency
SeniorFinance.com is not affiliated with, endorsed by, or acting on behalf of or at the direction of the U.S. Department of Housing and Urban Development (HUD), the Federal Housing Administration (FHA), or any other government agency. No content on this site has been reviewed, approved, or issued by HUD, FHA, or any government agency.
A reverse mortgage is a loan from a private lender that must be repaid. It is not a government benefit, entitlement, grant, or assistance program. FHA's role is to insure the loan — a protection you pay for through the mortgage insurance premium.
Your obligations as a borrower
A reverse mortgage does not end your responsibilities as a homeowner. For as long as the loan is outstanding you must:
- Pay all property taxes when due
- Keep homeowners insurance in force continuously
- Pay any homeowners association or condominium dues
- Maintain the property in good repair
- Occupy the home as your principal residence
Failure to meet these obligations can cause the loan to become due and payable, and may result in the loss of your home through foreclosure. Property charge default is the leading cause of reverse mortgage foreclosure.
The loan balance grows over time as interest and mortgage insurance premiums accrue and are added to it. The equity remaining in your home will decrease accordingly, and may be substantially or entirely consumed over a long loan term.
Estimates and calculators
Every dollar figure produced by the calculator, the eligibility questionnaire, or any illustration on this site is an estimate for planning purposes only. It is not a loan offer, a commitment to lend, an advertisement of specific credit terms, a pre-approval, or a guarantee of the amount you will receive.
Actual proceeds depend on the age of the youngest borrower or eligible non-borrowing spouse, a completed FHA appraisal, the expected interest rate in effect when your FHA case number is assigned, the FHA lending limit then in force, your existing mortgage payoff and any other liens, the loan option you choose, and the results of a HUD-required financial assessment.
Illustrations on this site assume an FHA lending limit of $1,249,125 and a representative expected interest rate. Both change. Principal limit factors are HUD's own published table, read the way a lender reads it. HUD can revise that table at any time, and the figures remain estimates.
Counseling
Every HECM borrower must complete a counseling session with an independent counselor approved by HUD before an application can be submitted. We do not conduct this counseling, we do not select your counselor, and we receive no portion of any counseling fee. You may choose any HUD-approved agency. Find one at hud.gov/findacounselor or by calling 1-800-569-4287.
Licensing
Robert Erath, NMLS #297076. United Mortgage Corp, NMLS #1330. Licensed in New York, New Jersey, Pennsylvania, Maryland, North Carolina, Georgia, Florida, and California. Verify any license at nmlsconsumeraccess.org.
This site is operated by Erath Solutions LLC. Mortgage services are offered through United Mortgage Corp, Licensed Mortgage Banker — New York State Department of Financial Services, LMBC 110517.
This is not a commitment to lend or extend credit. All loans are subject to credit approval, financial assessment, property appraisal, and program eligibility requirements. Rates, programs, fees, and terms are subject to change without notice. Other restrictions may apply.
Equal Housing Opportunity
We do business in accordance with the Federal Fair Housing Law and the Equal Credit Opportunity Act. We do not discriminate on the basis of race, color, religion, sex, handicap, familial status, national origin, sexual orientation, marital status, age (provided you have the capacity to contract), receipt of public assistance, or the good faith exercise of any right under the Consumer Credit Protection Act.
Independent resources
Read these. They have nothing to sell you: