REVERSE MORTGAGES
Reverse Mortgage Options for Different Financial Needs
Two main paths exist for eligible homeowners. Here's what each one is, in plain language, so you can compare them without the jargon.
THE BASICS
What a Reverse Mortgage Is — and
What It Isn't
A reverse mortgage is a home loan for eligible older homeowners that converts a portion of home equity into available funds. It is not a government benefit, and it is not free money. It is a loan with costs, obligations, and terms worth understanding fully.
You continue to own your home
You remain on title. The reverse mortgage is a lien against the property. Eligible borrowers may continue living in the home as their principal residence as long as loan terms are met, including keeping property taxes and homeowners insurance current and maintaining the property.
Repayment happens later
The loan balance grows over time and generally becomes due when the last borrower sells, permanently moves out, or passes away. At that point, heirs typically have options that may include repaying, refinancing, or selling the home.
PROGRAM COMPARISON
HECM and Proprietary Programs
HECM Reverse Mortgage
- Insured by the Federal Housing Administration (FHA)
- No monthly mortgage payment required as long as loan terms are met
- You remain the owner on title
- Independent HUD-approved counseling is required
- Proceeds may be available as a lump sum, monthly amounts, or a line of credit
- Existing mortgage liens are typically paid off first
High-balance HECM options
Where eligible, Chasewood Financial can offer high-balance HECM options potentially up to $4 million, subject to program requirements and qualifications. No specific amount is promised or guaranteed.
Proprietary / Jumbo Reverse Mortgage
- Offered by private lenders rather than insured by FHA
- May suit higher-value homes above standard HECM limits
- Some programs may be available beginning at age 55
- Terms, costs, and eligibility differ by lender and program
- Counseling and disclosure requirements vary by program
Let's Talk About What Your Home Equity Could Mean for You.
Every homeowner's situation is different. Start with a conversation and get clear answers about your options.