Home Equity Conversion Mortgage (HECM)

What’s the difference between a Reverse Mortgage and a HECM Mortgage?

— Maria
Call 855-523-4326 to speak with a Longbridge Specialist
Questions? Consult with
a Specialist Now: 855-523-4326

There isn’t any: both refer to the same Federal Housing Administration-insured loan program for homeowners age 62 and older. Whether you’ve heard about a “HECM Mortgage,” “Home Equity Conversion Mortgage,“ “HECM Reverse Mortgage,” “HECM Loan, ” or “Reverse Mortgage,” it’s all the same thing: a program designed for older adult homeowners to tap into their home equity and get cash to use as they wish.

No matter what you call it, it offers a number of advantages:

  • No monthly mortgage payments required1
  • You continue to own your home
  • You choose how you’d like to receive your funds:
    • A One-time payment, income tax-free2
    • Steady, tax-free monthly payments2
    • A line of credit
    • Any combination of these
  • Independent, HUD-approved counseling to help you understand your options

Get extra cash for whatever you need most:

  • Keep up with everyday bills and living expenses
  • Eliminate or reduce credit cards or other debts
  • Help with healthcare costs, making it easier to “age in place”
  • Set aside funds for unexpected expenses or long-term care
  • Make home updates, repairs, or modifications to live more comfortably
  • Help out family members with major expenses

A HECM Mortgage can be an important part of your retirement plan.
To learn more, click here or talk to a Longbridge specialist at 855-523-4326.

1 Borrower must continue to pay property taxes, insurance, and maintenance.

2 Consult a financial advisor and appropriate government agencies for any effect on taxes or government benefits.