Use home equity more strategically in retirement.
For eligible homeowners 62 and older, a HECM reverse mortgage may allow access to a portion of home equity without required monthly principal and interest payments while program obligations continue to be met, including taxes, insurance, occupancy, and property maintenance. Terms, loan amounts, and counseling requirements vary by program.
Homeowners who've built equity and want to use it strategically.
Access equity while reducing
monthly mortgage obligations.
A reverse mortgage allows eligible homeowners to borrow against home equity with no required monthly principal and interest payment while all continuing obligations are met, including property taxes, insurance, occupancy, association charges, and maintenance. The loan balance grows over time and generally becomes due when the home is sold, the borrower permanently moves out, or another maturity event occurs.
The most common program is the HECM (Home Equity Conversion Mortgage), insured by FHA. For higher-value properties, proprietary jumbo reverse mortgage programs may be available. Depending on the program and lender, proceeds may be available as a lump sum, line of credit, monthly payments, or a combination.
All HECM borrowers are required to complete a HUD-approved independent counseling session before the loan closes. This is a federal consumer protection requirement. GT Home Lending can provide a referral to an approved counselor.
HUD-approved counseling (required)
All HECM borrowers must complete a counseling session with a HUD-approved independent counselor. We provide referrals and help you schedule it. Typically 60–90 minutes.
Eligibility and benefit analysis
Alex calculates your Principal Limit — the maximum amount you can access — based on your age, home value, and current rates. We compare HECM vs. proprietary programs.
Choose your disbursement structure
Lump sum, line of credit, monthly tenure payments, or a combination. We model each option so you can choose based on your income and cash flow needs.
Appraisal and underwriting
A licensed appraiser determines current market value. FHA appraisal standards apply for HECM. Proprietary programs use their own appraisal requirements.
Close and access your equity
After a mandatory 3-day right of rescission, funds are disbursed per your elected structure. You remain on title. You continue to own your home.
Multiple structures.
One decision.
How you receive proceeds — and which program fits your property value — shapes the entire picture. Here's what's available.
HECM Line of Credit
An available line of credit drawn from as needed. Depending on the program, the unused available amount may grow over time; growth terms, if any, are set by the lender and should be confirmed for the specific program.
HECM Lump Sum
A fixed-rate option that may distribute the borrower's eligible amount at closing, subject to program limits. May suit borrowers with a specific use in mind, such as paying off an existing mortgage or funding a major home improvement.
Monthly Tenure Payments
Monthly HECM tenure payments may continue while at least one eligible borrower occupies the property as a principal residence and continues meeting all loan obligations, including property taxes, homeowners insurance, maintenance, and other applicable requirements.
HECM for Purchase (H4P)
Some eligible borrowers may use a reverse mortgage to purchase a new primary residence, with no required monthly principal and interest payment while all continuing obligations are met.
Proprietary Jumbo Reverse
For homes valued above the FHA HECM limit, proprietary reverse mortgage programs may be available through select lenders. Loan amounts, insurance requirements, costs, and features vary by lender and should be compared directly.
Combination Structures
Some borrowers elect a partial lump sum, such as to pay off an existing mortgage, combined with a line of credit for future use, subject to program and lender terms.
What to expect.
Important disclosure: Reverse mortgages are complex financial products. All HECM borrowers are required by federal law to complete a counseling session with a HUD-approved independent counselor before the loan can proceed. This is a consumer protection requirement — not a GT Home Lending requirement. We strongly encourage all borrowers and their family members to ask questions, review all materials, and consult with independent advisors before proceeding.
Eligibility, limits, obligations, and costs
Eligibility Requirements
- All borrowers must be 62 or older
- Primary residence only
- Sufficient equity, with available proceeds depending on the youngest eligible borrower's age, expected interest rate, property value, existing liens and the selected program
- Must complete HUD-approved counseling
HECM Loan Limits
- 2026 nationwide HECM maximum claim amount: $1,249,125
- Available proceeds depend on age, appraised value, expected rate, and other FHA requirements — not automatically equal to the maximum claim amount
- Proprietary programs available above the HECM limit
Ongoing Obligations
- Property taxes must remain current
- Homeowners insurance must remain in force
- Home must remain primary residence
- Basic property maintenance required
When the Loan Becomes Due
- Borrower sells or transfers the property
- Borrower moves out permanently (12+ months)
- Last surviving borrower passes away
- Failure to meet ongoing obligations
Costs and Fees
- Origination fee (capped by FHA for HECM)
- MIP: 2% upfront + 0.5% annually (HECM)
- Standard closing costs apply
- Most costs can be financed into the loan
Non-Borrowing Spouses
- A spouse under 62 may qualify as an eligible non-borrowing spouse
- Applicable protections may allow an eligible non-borrowing spouse to remain in the home after the borrowing spouse's death, subject to meeting FHA and lender requirements
- Specific documentation is required at origination, and requirements should be confirmed with the lender
These materials are not from HUD or FHA and were not approved by HUD or a government agency. All loans subject to underwriting and lender approval. Not a commitment to lend. Reverse mortgage loan proceeds are generally tax-free, but borrowers should consult a tax advisor. Program availability, eligibility, loan limits, terms, interest rates, fees, approval, and closing timelines are subject to change and may vary based on borrower qualifications, property eligibility, documentation, underwriting, lender and investor guidelines, and applicable federal and state requirements. This information is for general educational purposes and is not a commitment to lend or an offer of credit.
Frequently Asked Questions
Have questions about this program?
Alex reviews every file personally. Schedule a call and get direct answers.
Decades of equity.
Put it to work.
A reverse mortgage is a major financial decision. Alex will walk you through every detail — clearly and honestly — so you and your family can make an informed choice.