PathAfterEspañol

Property, Vehicles, and Utilities

What if there is a reverse mortgage on the home?

Short answer

A reverse mortgage becomes due when the borrower dies. The estate has options: pay off the loan and keep the home, sell the home and use proceeds to pay off the loan, or let the lender take the home. The estate is…

What this usually means

A reverse mortgage becomes due when the borrower dies. The estate has options: pay off the loan and keep the home, sell the home and use proceeds to pay off the loan, or let the lender take the home. The estate is never responsible for more than the home's value — reverse mortgages are non-recourse loans. Act quickly — lenders typically require a response within 30 days of death.

What to do next

Related questions