Reverse Mortgages –Simplified- Introduction


The reverse mortgage program was created back in 1988. The program was developed for retired seniors who had equity in their homes, but were short on monthly income or experienced shrinking assets or savings due to the prolong period of inflation during the 70’s and early 80’s. Today, many seniors in retirement are seeing unexpected expenses, shortage of cash flow and shrinking savings.

The reverse mortgage program HECM, (Home Equity Conversion Mortgage) was developed by FHA/ HUD as an option to assist in challenging financial times for seniors in retirement. Also, there are Alternative Reverse Mortgage programs (not HECM) offering options for seniors outside the traditional HECM program.

Simply, the reverse mortgage programs are the only mortgage programs that allow homeowners to access their home equity without requiring a monthly mortgage payments. The reverse mortgage loan is paid back after the last homeowner leaves the home or passes away.


Bruce Anderson, CRMP® NMLS #237538

Certified Reverse Mortgage Professional®


Bruce Anderson is a licensed reverse mortgage expert in NM and TX with Legacy Mortgage, NMLS 249314. His CRMP designation was earned in the 1st class recognized by the National Reverse Mortgage Lenders Association, NRMLA in 2010. Reverse Mortgages-Simplified is a series of short articles explaining reverse mortgage programs.