How Does a Reverse Mortgage Work

Making the Most of Your Retirement

reverse mortgage is a loan for senior homeowners that uses the home’s equity as collateral. The loan generally does not have to be repaid until the last surviving homeowner permanently moves out of the property or passes away.

At that time, the estate has approximately 6 months to repay the balance of the reverse mortgage or sell the home to pay off the balance. Any remaining equity is inherited by the estate. The estate is not personally liable if the home sells for less than the balance of the reverse mortgage.


The federal government has put in place several safeguards in the reverse mortgage loan program to protect and shield homeowners from predatory lending practices. Chief among them is the mandate that a third-party counseling session must occur with an independent HUD-approved counselor before an application can be processed.

Benefits of a Reverse Mortgage Loan

A reverse mortgage loan through Liberty Home Equity Solutions, Inc. gives you the ability to enjoy financial security, peace of mind and the ability to remain in your home during your retirement years.

You have the freedom to use the net proceeds however you deem necessary.*Blacfolksjpg

  • Supplement your retirement income
  • Consolidate debt
  • Pay for medical care, prescription drugs and in-home care
  • Cover large or unexpected expenses
  • Make home improvements
  • Travel to visit family and friends or take vacations
  • Gifts for the children/grandchildren
  • Live a more comfortable lifestyle

Eligibility Requirements

The basic eligibility requirements to purchase a home with a reverse mortgage loan are:

  • All titleholders must be aged 62 years or over
  • The purchased home must be your principal residence
  • The purchased home must meet HUD’s minimum property standards and be either a single-family residence, a residence in a 2- to 4-unit dwelling.
  • The down payment must be from qualifying sources
  • You must complete a HUD-approved counseling session

No up-front lender fees:

We do not charge any up-front lender fees. All the processing and loan fees can be financed into the mortgage itself.

We believe passionately in what we do. Contact us today and let us make it easy for you.

For more information contact, New Business Coordinator Bill Richardson-323-936-0555, ext.11