Pennsylvania follows the federal rules
Pennsylvania does not add material state-level requirements to the federal HECM programme. The rules that govern your loan are HUD's: 62 or older, principal residence, independent counseling before application, financial assessment, and the same non-recourse protection that applies nationally.
The Property Tax/Rent Rebate Programme
Pennsylvania runs a Property Tax/Rent Rebate Programme for homeowners 65 and older, widows and widowers 50 and older, and people with disabilities, subject to an income limit that has been expanded in recent years. It is administered by the Department of Revenue and it is among the most genuinely useful senior programmes in the country.
It is also widely underclaimed, generally because people assume they earn too much — the income limit was raised, and some who were previously ineligible now qualify. Check the current year's threshold before assuming.
Nearly every school district also reduces the school tax on an owner-occupied home through a homestead or farmstead exclusion funded by gaming revenue. It is separate from the state rebate and not automatic: you apply through your county assessment office by March 1, and the district must tell you if your approval is about to expire.
Property tax burdens vary widely across Pennsylvania — the difference between a Philadelphia collar county and a rural western county is substantial. Because unpaid property taxes are the leading cause of reverse mortgage foreclosure, work from your actual bill rather than a state average.
What "enough equity" looks like in Pennsylvania
Pennsylvania values sit closer to the national middle, which changes the arithmetic in a specific way: the $1,249,125 FHA lending limit rarely binds here, so a standard HECM is usually the right product and a jumbo reverse is rarely necessary.
The more common constraint is the opposite one. On a modest home, the roughly $15,000–$20,000 in upfront costs is a larger share of the proceeds than it would be on a Long Island house, so the question of how long you intend to stay carries more weight. Under five years, and the numbers frequently do not justify it. Run yours before deciding.
Counseling in Pennsylvania
Counseling is required and available by telephone from HUD-approved agencies serving Pennsylvania. You may use any HUD-approved agency — we do not choose your counselor and receive no part of the fee. Find one at hud.gov/findacounselor or by calling 1-800-569-4287.
What the session actually covers, and how to get your money's worth from it.
The rest is the same everywhere
Beyond the above, a Pennsylvania reverse mortgage works the way it works nationally. You keep the title. There is no monthly mortgage payment for as long as you live there and meet your obligations. The loan is non-recourse, so neither you nor your heirs can ever owe more than the home sells for. Any existing mortgage is paid off at closing unless you use a second-lien product.
- How a reverse mortgage actually works
- Whether you qualify
- What it costs
- Every option compared, including the ones we do not sell
Licensed in Pennsylvania
Robert Erath, NMLS #297076, is licensed to originate in Pennsylvania through United Mortgage Corp, NMLS #1330. Verify either licence independently at nmlsconsumeraccess.org — you should do that with every originator you speak to, not just this one.
What this estimate is, and what it is not
These figures are an illustration for planning only — not a loan offer, not a commitment to lend, and not a guarantee of what you will receive. Your real numbers depend on a completed appraisal, the expected interest rate on the day your FHA case number is assigned, your existing mortgage payoff, and a HUD financial assessment. A reverse mortgage is a loan that must be repaid, not a government benefit. You remain responsible for property taxes, homeowners insurance and upkeep, and the loan can become due if you stop meeting those obligations.