--- title: "Reverse Mortgages and Senior Care: What Families Should Know" description: "Reverse mortgages and senior care: how a HECM works, who qualifies, required counseling, and what happens if your parent moves to assisted living." url: https://seniortransitionassistance.com/help/paying-for-it/reverse-mortgage/ updated: 2026-10-09 site: Senior Transition Assistance --- Paying for care # Reverse mortgages and paying for senior care A reverse mortgage can turn home equity into cash for care at home. But it works best for people planning to stay in the home. Here's what to know before you talk to a lender. Talk it through with a person[ (800) 614-8388 ](tel:+18006148388) Free. We listen, explain your options, and introduce you to a few that fit. You decide. Quick answer A reverse mortgage lets homeowners borrow against home equity without monthly mortgage payments; the loan is usually repaid when the borrower moves out or dies. For the most common type, a federally insured Home Equity Conversion Mortgage (HECM), the youngest borrower must be at least 62, the home must be the principal residence, and counseling from an independent HUD-approved counselor is required first. If your parent will soon move to assisted living, it's often not a good fit, because the loan generally comes due after moving out. Talk to a HUD-approved counselor and a trusted advisor. **Last updated October 9, 2026** Costs are published medians or typical ranges with a named source, never quotes. Every community and agency prices differently. **On this page** 1. [ How a HECM works](#g-how-a-hecm-works) 2. [Who qualifies](#g-who-qualifies) 3. [If your parent moves to assisted living or a nursing home](#g-if-your-parent-moves-to-assisted-living-) 4. [When it may make sense](#g-when-it-may-make-sense) 5. [When to look elsewhere](#g-when-to-look-elsewhere) 6. [Questions](#g-faq) ## How a HECM works - Borrow against home equity as a lump sum, monthly payments or a line of credit. - No monthly mortgage payment, but taxes, insurance and upkeep must continue. - Interest and fees are added to the balance over time. - The loan is usually repaid by selling the home. ## Who qualifies - Youngest borrower at least 62. - The home is the principal residence. - Counseling from an independent HUD-approved HECM counselor before closing. ## If your parent moves to assisted living or a nursing home According to the CFPB, reverse mortgages typically must be repaid when the borrower moves out or dies. If your parent is in a health care facility for more than 12 consecutive months, the loan may come due unless a co-borrower, or in some cases an eligible non-borrowing spouse, still lives in the home. ## When it may make sense - Your parent plans to stay home for years and needs money for [in-home care](https://seniortransitionassistance.com/help/care-at-home/in-home-care/) or home changes. - A spouse will keep living in the home. ## When to look elsewhere - A move to assisted living is likely soon. [Selling the home](https://seniortransitionassistance.com/help/selling-the-home/) or a [bridge loan](https://seniortransitionassistance.com/help/paying-for-it/bridge-loan/) may fit better. - The home needs major repairs, or taxes and insurance are hard to keep up. ### Weighing how to use the house? We'll help you think through selling, staying and care options near Kansas City. Free. [ (800) 614-8388 ](tel:+18006148388)[Have us call you](#g-form) ## Questions families ask ### Can a reverse mortgage pay for assisted living? It can provide cash, but the loan generally comes due once the borrower moves out, so it usually works better for staying home. ### What is the age requirement for a reverse mortgage? For a HECM, the youngest borrower must be at least 62. ### Is counseling required? Yes. HECM borrowers must get counseling from an independent HUD-approved counselor. ### What happens if my parent goes into a nursing home? If away more than 12 consecutive months in a health care facility, the loan may come due unless a co-borrower or eligible spouse lives there. ## Sources - [24 CFR Part 206: Home Equity Conversion Mortgage Insurance (HECM rules)](https://www.ecfr.gov/current/title-24/subtitle-B/chapter-II/subchapter-B/part-206) - [CFPB: What happens if I have a reverse mortgage and have to move out of my home?](https://www.consumerfinance.gov/ask-cfpb/what-happens-if-i-have-a-reverse-mortgage-and-i-need-to-move-into-a-nursing-home-or-assisted-living-en-243/) ## Related guides - [Paying for it](https://seniortransitionassistance.com/help/paying-for-it/) - [How to pay for assisted living](https://seniortransitionassistance.com/help/paying-for-it/how-to-pay-for-assisted-living/) - [Selling the home](https://seniortransitionassistance.com/help/selling-the-home/) - [Bridge loans](https://seniortransitionassistance.com/help/paying-for-it/bridge-loan/) - [Aging in place](https://seniortransitionassistance.com/help/care-at-home/aging-in-place/) - [Life insurance](https://seniortransitionassistance.com/help/paying-for-it/life-insurance/) - [Long-term care insurance](https://seniortransitionassistance.com/help/paying-for-it/long-term-care-insurance/) - [Does Medicaid pay for assisted living?](https://seniortransitionassistance.com/help/paying-for-it/medicaid-assisted-living/) - [Medicaid home care](https://seniortransitionassistance.com/help/paying-for-it/medicaid-home-care/) --- Canonical page: https://seniortransitionassistance.com/help/paying-for-it/reverse-mortgage/