Question 1

Do I lose my home if I take out a reverse mortgage?

Accepted Answer

No. You retain full ownership and title. The lender has a lien, but you remain the homeowner. The loan comes due when you sell, move, or pass away — not before.

Question 2

What happens to my reverse mortgage when I pass away?

Accepted Answer

Your heirs inherit the home. They can keep it by paying off the loan balance, or sell the home and use proceeds to repay the lender. The loan does not transfer to them as a personal debt.

Question 3

Can I get a reverse mortgage if I still owe money on my current mortgage?

Accepted Answer

Yes. The reverse mortgage can pay off your existing mortgage first. You'll need enough equity after payoff to make the reverse mortgage worthwhile. Your lender will calculate this during the application.

Question 4

What are the upfront costs of a reverse mortgage?

Accepted Answer

Upfront costs include origination fees, appraisal, title insurance, and mortgage insurance premium. These typically total 2–5% of your home value. They're rolled into the loan balance rather than paid out of pocket.

Question 5

Can I access the funds as a line of credit instead of a lump sum?

Accepted Answer

Yes. You can draw funds as needed over time, similar to a HELOC. This keeps the loan balance smaller initially and gives you flexibility. Interest accrues only on funds you actually draw.

Reverse Mortgages in Patterson: Tap Home Equity Without Monthly Payments