It's the question we hear most, and the answer is yes. With a Home Equity Conversion Mortgage (HECM), the FHA-insured reverse mortgage most homeowners use, your name stays on the title. The lender holds a lien on the home, the same way it would with any mortgage.
What changes is the payment. You aren't required to make monthly mortgage payments, and the loan is repaid later, usually when the home is sold.
The short version
| Question | Answer |
| Who holds the title? | You do |
| What does the lender hold? | A lien on the home, like any mortgage |
| Can the lender make you leave? | Not while you live there and meet the loan terms |
| Can you sell? | Yes, at any time. The loan is repaid from the sale |
| When is the loan due? | When the last borrower sells, moves out for good, or passes away |
What ownership still means
It's your home in every practical sense. You can live in it, renovate it, sell it, and leave it to your family. If it gains value, that gain is yours.
When the loan comes due, it's repaid from the home's value. Whatever equity is left after that belongs to you or your heirs.
What you're still responsible for
Owning the home comes with the same duties it always has. To keep the loan in good standing, you need to:
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Live in the home as your primary residence
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Pay property taxes and homeowners insurance, plus flood insurance if your area requires it
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Pay any HOA dues
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Keep the home in good repair
If those slip, the loan can become due. During the application, the lender reviews your finances and may set aside part of the loan to cover future taxes and insurance, so they're handled for you.
When the loan comes due
A reverse mortgage becomes due when the last borrower sells the home, passes away, or moves out. Moving out means living somewhere else for more than 12 months in a row, for example in a care facility.
If you're married and only one of you is on the loan, ask about HUD's protections for an eligible non-borrowing spouse. They can allow that spouse to stay in the home.
What happens to the equity
A HECM is non-recourse. If the home sells for more than the loan balance, the difference goes to you or your heirs. If it sells for less, FHA insurance covers the gap, and nobody owes the shortfall.
Heirs who want to keep the home can pay off the loan for the lesser of the balance or 95% of the home's appraised value. Our guide for families walks through each option step by step.
Frequently asked questions
Does the bank own my house if I get a reverse mortgage?
No. You keep the title. The lender has a lien, just as it would with a traditional mortgage.
Can I be forced to leave my home?
Not while it's your primary residence and you keep up property taxes, insurance and maintenance.
Can I sell my home if I have a reverse mortgage?
Yes, at any time. The loan is paid off from the sale, and a HECM has no prepayment penalty.
Can my children inherit my home?
Yes. They can keep it by repaying the lesser of the loan balance or 95% of the appraised value, or sell it and keep any remaining equity.
How is this different from a HELOC?
Both borrow against your home, but a HELOC requires monthly payments and can be frozen. See our side-by-side comparison.
Want to see what your home could do for you?
Check your eligibility in a few minutes, or call us at 385-340-3880.
This article is for educational purposes and is not financial advice. A reverse mortgage is a loan that must be repaid. Consult a licensed advisor and complete HUD-required counseling before proceeding.