As part of the requirements for securing a reverse mortgage, a homeowner counseling session with a HUD approved counselor is required.  This meeting is typically over the phone and may take about 90 minutes.  The purpose of this HUD-required counseling is to ensure those seeking a reverse mortgage are making a well-considered decision.

When you begin your Reverse Mortgage inquiry we’ll provide you with pre-counseling information to prepare you for your appointment.  Included in that package is a list of HUD approved counselors from which you can choose to provide your counseling.  Your session will typically take place within 10 days of the call you make to schedule your appointment.

The counseling session is an educational opportunity for you.  The counselor will review the details of your planned reverse mortgage to make sure you understand the program and process.  The counselor will do the following:

  • Explain the reverse mortgage process to you;
  • Explain the reverse mortgage program options to you;
  • Explain the costs;
  • Explain the effect on eligibility for state and federal programs and the impact on your estate;
  •  Review the loan comparisons provided to you as well as the Total Annual Loan Cost disclosure;
  • Review whether you might be eligible for financial assistance such as housing assistance, tax deferral programs, other home loans or grants, food stamps, social services or healthcare.

A counselor will not recommend that you obtain a specific reverse mortgage product/program or utilize a specific lender.  The counselor’s role is to provide and clarify information only.  The cost of the counseling session is generally between $125 and $250.  When you complete the session you and your counselor will sign a counseling certificate.  You provide the certificate to your lender verifying that you have completed this requirement and are ready to proceed.

Included in the pre-counseling packet you will receive from us is the approved consumer booklet from HUD from the National Council on Aging, Use Your Home to Stay at Home.  You can also download this informative booklet here.

Ready to get started?  Please submit your information on our secure form and we’ll contact you promptly to discuss your mortgage and home-ownership questions.