Understand how your home equity may support your retirement goals
Explore FHA-insured Home Equity Conversion Mortgage (HECM) and proprietary reverse mortgage options with a California mortgage professional. We will help you understand how the programs work, compare available choices, and decide whether a reverse mortgage fits your plans.
No obligation to apply. Submitting an inquiry is not a loan application, approval, or commitment to lend.
A reverse mortgage may be worth exploring if you want to:
HECM reverse mortgages are generally available to homeowners age 62 or older. Certain proprietary options may be available to qualifying homeowners beginning at age 55. Eligibility, available proceeds, rates, costs, and payment options depend on the borrowers, property, current program rules, and underwriting.
A reverse mortgage is a loan secured by your home. It allows qualifying homeowners to access a portion of their home equity while retaining title to the property.
Unlike a traditional mortgage, a reverse mortgage generally does not require monthly principal-and-interest payments. Interest, mortgage-insurance charges when applicable, and other financed costs are added to the loan balance. As a result, the balance generally increases and the homeowner's remaining equity generally decreases over time.
The loan generally becomes due when the home is sold, the last applicable borrower permanently moves out or passes away, or the borrower fails to meet the loan obligations. The borrower must continue to occupy the home as required, pay property taxes and homeowners insurance, maintain the property, and comply with the loan terms.
For qualifying homeowners age 62 or older, a fixed-rate HECM generally provides the available proceeds through a single disbursement at closing. It may be appropriate when funds are needed upfront, including to pay off an existing mortgage. Interest and applicable charges accrue on the amount borrowed from the beginning.
An adjustable-rate HECM may provide more flexible ways to receive proceeds, including a line of credit, scheduled monthly advances, or a combination of permitted options. Interest and applicable charges accrue only on funds that have been advanced. Program limits, including restrictions on first-year access, may apply.
HomeSafe products are private reverse mortgages and are not part of the FHA HECM program. Certain options may be available to qualifying homeowners beginning at age 55, depending on the property state and current program rules. These programs may provide alternatives for higher-value homes or circumstances not served as well by HECM. Available proceeds, disbursement choices, costs, and eligibility vary by product.
Choosing the right option: The best choice depends on more than which program provides the largest initial proceeds. Rate structure, upfront costs, access to future funds, existing liens, expected time in the home, and long-term goals should all be considered.
We discuss your goals, property, existing mortgage, and what you want your home equity to accomplish. This is an educational conversation with no obligation to apply.
We compare potentially available programs and explain estimated proceeds, rates, costs, payment choices, and important tradeoffs.
HECM borrowers must complete counseling with an independent HUD-approved reverse mortgage counselor before the loan can be completed. Counseling requirements for proprietary reverse mortgages may differ.
If you decide to proceed, the lender reviews information concerning identity, occupancy, income and assets, credit history, existing liens, property-charge history, and other program requirements.
An appraisal and property review help establish the home's value and determine whether it meets applicable requirements. Underwriting then determines whether the borrower, property, and requested loan meet the program guidelines.
You review the final terms and disclosures before signing. Funding occurs after closing and any applicable waiting or rescission period.
Every borrower and property is different. Additional steps or documentation may be required.
Yes. You retain title to your home. The reverse mortgage is a loan secured by the property, similar to a traditional mortgage. You must continue to meet the occupancy, property-tax, insurance, maintenance, and other loan requirements.
Reverse mortgages generally do not require monthly principal-and-interest payments. You must still pay property taxes, homeowners insurance, applicable homeowners-association charges, and other required property expenses. You must also maintain the home and comply with the loan terms.
When the loan becomes due, the home may be sold and the reverse mortgage repaid from the sale proceeds, or the homeowner or heirs may pursue other available repayment options. Any equity remaining after the loan and selling costs are paid belongs to the homeowner or estate.
FHA-insured HECMs are non-recourse loans. Under applicable program rules, the borrower or heirs generally will not owe more than the home's value.
Often, yes. An existing mortgage and other required liens generally must be paid off at or before the reverse mortgage closing, commonly using the reverse mortgage proceeds. Whether sufficient proceeds are available depends on the borrowers, property value, existing liens, interest rates, and program rules.
The amount depends on factors that include the age of the youngest applicable borrower or eligible non-borrowing spouse, the home's value, current interest rates, existing liens, the selected product, and underwriting requirements. A personalized review is needed to estimate the proceeds that may be available.
Independent counseling with a HUD-approved reverse mortgage counselor is required before obtaining an FHA-insured HECM. The counselor explains how the loan works, its costs, available alternatives, and the homeowner's continuing responsibilities. Counseling requirements for proprietary reverse mortgages may differ.
Costs vary by program and may include appraisal, title and settlement charges, origination charges, recording fees, and other third-party expenses. A HECM also includes FHA mortgage-insurance charges.
Some costs may be financed into the loan. Financing these costs reduces the equity available to the homeowner and increases the loan balance.
No. A reverse mortgage may not be a good fit if you expect to move soon, cannot reliably meet the ongoing property obligations, or want to preserve as much home equity as possible for other goals.
Alternatives may include refinancing, obtaining a home-equity loan or line of credit, selling or downsizing the home, or using other assets. The appropriate choice depends on your circumstances and objectives.
Tell us what you hope to accomplish and provide some basic information about your property. A reverse mortgage professional with America One Mortgage Group will review your inquiry and contact you according to the authorizations you select below.
Call America One Mortgage: (888) 942-5626
Submitting this form is not a loan application, approval, or commitment to lend. There is no obligation to apply.
Equal Housing Opportunity
America One Mortgage Corporation is currently licensed to originate mortgage loans in California only. We do not offer or negotiate mortgage loans in states where we are not licensed. Consumers with properties outside California may be referred, where permitted, to an independently licensed mortgage professional.
This material is for informational purposes only and is not a commitment to lend. All loans are subject to borrower and property qualification, underwriting approval, product availability, and applicable terms and conditions. Rates, proceeds, costs, and program requirements are subject to change without notice.
The Home Equity Conversion Mortgage (HECM) program is insured by the Federal Housing Administration. HomeSafe is a proprietary reverse mortgage product and is not part of the FHA HECM program. This material was not provided by HUD or FHA and was not approved by HUD, FHA, or any other government agency.
Borrowers must continue to pay property taxes and homeowners insurance, maintain the property, occupy the home as required, and comply with all loan terms. Failure to meet these obligations may cause the loan to become due and payable and may lead to foreclosure.
We take pride in providing you with excellent service and appreciate the opportunity to assist you with all your mortgage needs.
America One Mortgage Group - Corporate NMLS# 79460 California Bureau of Real Estate Licensed Broker# 01323980
