A HECM reverse mortgage is a loan for eligible senior homeowners that lets them access a portion of their home equity. HECM stands for Home Equity Conversion Mortgage, the FHA-insured reverse mortgage program.
Who may be eligible for a HECM?
HECM reverse mortgages are available to homeowners who meet age and other program requirements. Eligibility and terms are determined by the program and lender.
How a HECM works
With a HECM, eligible homeowners can access equity without required monthly mortgage payments, though the loan must eventually be repaid. Borrowers remain responsible for property taxes, insurance, and maintenance.
What to consider
A reverse mortgage is a significant financial decision. Ramzi can help eligible homeowners understand how a HECM works and whether it fits their circumstances.
Loan approval is not guaranteed. All loans are subject to application, underwriting, credit approval, property review, program guidelines, and applicable state licensing requirements. Rates, terms, loan programs, and availability are subject to change without notice. This is not a commitment to lend. This article is for educational purposes only and is not financial, tax, or legal advice. FBT Bank & Mortgage is an Equal Housing Lender.
