Question 1

Do I still own my home with a reverse mortgage?

Accepted Answer

Yes. You keep the title and ownership. The lender places a lien, just like a regular mortgage.

Question 2

What happens when I move out or pass away?

Accepted Answer

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

Question 3

Can I get a reverse mortgage on a condo in Dana Point?

Accepted Answer

Yes, but condos must be FHA-approved for a HECM. Some Dana Point condo complexes qualify — we can check quickly.

Question 4

How is my loan amount determined?

Accepted Answer

It's based on your age, home value, and current interest rates. Older borrowers and higher home values mean more proceeds. Rates vary by borrower profile and market conditions.

Question 5

Is the cash I receive taxable?

Accepted Answer

No. Reverse mortgage proceeds are loan advances, not income. They're generally not taxable — confirm with your tax advisor.

Question 6

What if my home value exceeds the HECM limit?

Accepted Answer

A proprietary jumbo reverse mortgage may give you higher proceeds. These are private products, not FHA-backed.

Reverse Mortgages in Dana Point, CA