Question 1

Do I still own my home with a reverse mortgage?

Accepted Answer

Yes, you retain title. The lender places a lien, but you own the home as long as you meet the loan obligations.

Question 2

What happens when I move out or pass away?

Accepted Answer

The loan becomes due. Your heirs can sell the home, repay the balance, or refinance to keep it.

Question 3

Can I get a reverse mortgage if I still have a balance on my current mortgage?

Accepted Answer

Yes, but the reverse mortgage proceeds must first pay off the existing balance. You keep any remainder.

Question 4

Is HUD counseling really required in Costa Mesa?

Accepted Answer

Yes. Federal law requires it for all HECM borrowers. It's done by a HUD-approved counselor before your application moves forward.

Question 5

How is the loan amount determined?

Accepted Answer

It depends on your age, home value, and current interest rates. Older borrowers with more equity generally qualify for higher amounts.

Question 6

Are reverse mortgage proceeds taxable?

Accepted Answer

Generally no — loan proceeds are not considered income. Consult a tax advisor to confirm based on your situation.

Reverse Mortgages in Costa Mesa for Homeowners 62+