Reverse Mortgages

What Is a Reverse Mortgage?

A Reverse Mortgage is a financial tool, plain and simple. This tool, combined with your other financial strategies, can allow you to retire when you didn’t think you could, or help you have the security of making your finances last throughout your retirement. With an estimated 10,000 people turning 62 years old EACH DAY in the United States, there is a great need for an additional financial tool to facilitate a stress-free retirement.

Jumbo Reverse Mortgages:

Jumbo Reverse Mortgages, sometimes known as Proprietary Reverse Mortgages — are developed, and follow the guidelines created by private companies. Guarantee Mortgage offers a Jumbo Reverse Mortgage up to $3.0M (certain restrictions apply).

Some important things to know:

  • This specific loan allows a homeowner 62 years or older to access the equity in their principal residence without taking on monthly mortgage payments.*
  • This type of loan, referred to as Home Equity Conversion Mortgage (HECM) is insured by the Federal Housing Administration (FHA) within the U.S. Department of Housing and Urban Development (HUD).
  • The homeowner can access the equity from a reverse mortgage by receiving a monthly income, establishing a line of credit, receiving a lump sum or any combination of the three!
  • You can also use a reverse mortgage to PURCHASE your primary residence!
  • Qualified borrowers may be able to purchase a home without taking on monthly payments. *
  • This type of HECM loan allows a buyer to bring just enough of a down payment that creates enough equity in the home so that there are no monthly payments. *
  • There is NO Required monthly payment on the HECM loan! In fact, in most cases you can ELIMINATE YOUR MONTHLY MORTGAGE PAYMENT!**

* No Principle and Interest (P&I) payments required but must pay property taxes and required homeowner’s insurance, maintain proper upkeep of the home and occupy the home as the primary residence

** Repayment of the loan is deferred until the home is sold or the last borrower moves out permanently.


What are the minimum requirements to be considered for a Reverse Mortgage?

  • All borrowers must be 62 years or older
  • Home must be owner occupied as the primary residence
  • Must be able to pay taxes, required homeowners insurance, and maintain the pr