A reverse mortgage is a loan for homeowners who are at least 62 years old (younger of 2 borrowers) that allows them to turn equity in their home into cash.
A reverse mortgage is a way to help seniors use the accumulated equity in their homes and have access to liquid funds. There are no restrictions on how reverse mortgage proceeds can be used.
With a reverse mortgage, there is no mortgage payment like with a traditional mortgage. You can choose to receive money as a lump sum or as a home equity line of credit.
There is no requirement to pay back the loan until the home is sold or no longer occupied as a primary residence. As long as you live in the home, you must remain current on your property taxes, homeowners insurance, and condominium/association fees (if applicable).