Transform Your Retirement With Reverse Mortgage Valuation Insights

Types of Reverse Mortgages

There are several types of reverse mortgages available, each with its unique features and benefits:

• Home Equity Conversion Mortgages (HECMs): These are federally insured by the U.S. Department of Housing and Urban Development (HUD) and are the most common type of reverse mortgage. HECMs offer flexible payment options, including lump sum, monthly payments, or a line of credit.
• Proprietary Reverse Mortgages: These are private loans backed by the companies that develop them and are not subject to the same regulations as HECMs. They may be suitable for homeowners with higher-valued properties.
• Single-Purpose Reverse Mortgages: Offered by some state and local government agencies, these loans are typically used for specific purposes, such as home repairs or property taxes.