What about repaying a Reverse Mortgage Loan?

The very nature of a reverse mortgage loan can be confusing. With a reverse mortgage loan, lenders pay you either in monthly installments, with one lump sum, a line of credit or as a combination of a line of credit and monthly installments. The following lists provide information regarding repayment of a reverse mortgage loan.

A reverse mortgage loan comes due when under the following conditions:

  • Death of the homeowner or last surviving eligible non-borrowing spouse
  • Upon sale of the home by the homeowner
  • If the homeowner lives elsewhere for 12 consecutive months (i.e. assisted living home)
  • Upon an instance of default.

When the reverse mortgage loan becomes due there are two options for paying it off.

  1. Proceeds from the sale of the home
  2. The homeowner or heirs of the homeowner can refinance the loan

Like all loans a reverse mortgage loan does carry conditions in order to remain valid. Reasons a borrower may find themselves in default include:

  • Failure to pay property taxes
  • Failure to keep the home in good repair
  • Failure to insure the home
  • Taking of new debt on the home
  • Bankruptcy
  • Abandonment or donation of the home
  • Eminent domain

To apply for your reverse mortgage loan click here.

These materials are not from HUD or FHA and were not approved by HUD or a government agency.

Main Office (Sidney)

733 Fair Rd.
Sidney, Ohio 45365

Lebanon Branch

901 N Broadway
Lebanon, Ohio 45036

Mason Branch

7588 Central Parke Blvd Suite 314
Mason, Ohio 45040


Phone: 800-736-8485
Fax: 937-497-9020
Email: Trose@westernohiomortgage.com
NMLS: 9601
We are licensed in the following states: Ohio: MB-801814.000, Indiana: 15536, Florida: MLD154, Kentucky: MB72955; 

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