A Home Equity Conversion Mortgage(HECM) is a loan that allows you to access your housing wealth or in other words, convert a portion of the equity in your home to cash.

HECM’s or Reverse Mortgages are regulated by HUD and insured by FHA.  The proceeds from a HECM can be used to pay for almost any expense, need, or want you may have.

The loan does not require repayment as long as all the loan terms are met and until the last surviving borrower permanently moves out of the home or passes away.

It is important to remember that the borrower still owns their home, remains on title, and can sell at any time.

Who is Eligible for a Reverse Mortgage or (HECM)?

*Borrower(s) must be 62 years or older; if married in the state of SD only one needs to be 62

*Borrowers must live in the home as their primary residence (where they typically spend most of the calendar year)

*Borrowers must receive counseling from a HUD approved agency

*Borrowers must meet minimal credit and property requirements

*The property must be a single family home, 2-4 unit dwelling or and FHA approved condo

*The homeowner must not be delinquent on any federal debt

*Borrower must pay taxes, insurance, and maintain the home