What Are the Requirements for a Reverse Mortgage?
For a Home Equity Conversion Mortgage (HECM), the most common reverse mortgage, the youngest borrower must be 62 or older and you must complete counseling with a HUD-approved counselor. The home has to be your principal residence, any existing mortgage is paid off at closing, and the lender checks that you can keep paying property taxes, homeowners insurance, any HOA dues and upkeep.
Last updated October 22, 2026Age
The youngest borrower has to be 62 at closing. A spouse who is younger can't be a borrower, but can be named in the loan documents as a non-borrowing spouse. That matters later: a spouse who qualifies as an Eligible Non-Borrowing Spouse may be able to stay in the home after the borrower dies, though they don't receive money from the loan. See what happens to a reverse mortgage when you die or move.
Counseling
HUD-approved counseling is required before a lender can process your HECM application. Every HECM borrower meets with a HUD-approved reverse mortgage counselor to go over eligibility, the loan's costs and obligations, and the alternatives. You can search HUD's counselor roster or call (800) 569-4287. Counselors may charge a reasonable fee, but they can't charge you if you can't afford it, and they have to explain any charge before the session.
The home
The home has to be where you live for the majority of the year. The rules cover a home designed for one family, homes with more units where allowed, and a one-family condominium unit. The house also has to meet property standards; if it needs work, the lender tells you which repairs come first.
Any existing mortgage
You either own the home outright or owe little enough that the balance can be paid off when the reverse mortgage closes, with your own money or with money from the loan. How much a lender can make available depends on the age of the youngest borrower or eligible non-borrowing spouse, current interest rates and the home's value, and any existing mortgage is paid from that first.
Delinquent federal debt
You can't have unresolved delinquent federal debt, such as past-due federal income taxes or a defaulted federal student loan. A federal loan you're paying on schedule isn't a bar. Delinquent federal debt can be paid off with money from the reverse mortgage at closing.
A financial assessment
Before approving the loan, the lender looks at your credit history, cash flow and what income is left after your regular expenses, to judge whether you can keep paying property taxes, homeowners insurance and upkeep. If the numbers fall short, part of the loan can be set aside at closing to pay those charges. Meeting these requirements doesn't guarantee approval; each lender decides.
What you agree to keep doing
A reverse mortgage comes with obligations for as long as you have it: you keep paying property taxes, homeowners insurance and any HOA dues, you maintain the home, and it stays your principal residence. The balance grows over time, and the loan comes due when the last borrower dies, sells the home or moves out for good, or stops keeping up with those obligations.
Who is borrowing today
Lenders reported 31,826 reverse mortgages originated in 2025 in the federal HMDA data. For 52% of them the main applicant was over 74, and for 40% the main applicant was 65 to 74. These are what lenders reported for originated loans, not FreeRateUpdate's own figures.
| Age | Youngest borrower 62 or older at closing |
|---|---|
| Counseling | HUD-approved counseling before the lender processes your HECM application |
| Home | Principal residence; one-family home, allowed multi-unit or one-family condo |
| Existing mortgage | Paid off at closing, from your money or the loan |
| Delinquent federal debt | None unresolved, or paid off with the loan at closing |
| Financial assessment | Credit, cash flow and leftover income; a set-aside covers shortfalls |
| Ongoing obligations | Taxes, insurance, HOA dues, upkeep; the balance grows |
Related questions
Sources
- https://www.ecfr.gov/current/title-24/subtitle-B/chapter-II/subchapter-B/part-206
- https://www.consumerfinance.gov/ask-cfpb/can-anyone-take-out-a-reverse-mortgage-loan-en-227/
- https://www.hud.gov/hud-partners/single-family-hecmhome
- https://www.consumerfinance.gov/ask-cfpb/what-happens-my-reverse-mortgage-when-i-die-en-2096/
- https://www.consumerfinance.gov/ask-cfpb/how-much-does-a-reverse-mortgage-loan-cost-en-237/
- https://ffiec.cfpb.gov/data-browser/
Sourced from licensed loan officers and brokers in the FreeRateUpdate network.
Educational information only, not individualized financial or legal advice. Program details and rates change; verify current terms with a licensed loan officer before making a decision.