A reverse mortgage is a special type of home loan that allows the borrower to  convert a portion of the equity in your home into cash. The equity that built up over years of home mortgage payments can be paid to the borrower.

But unlike a traditional home equity loan or second mortgage, no repayment is required until the borrower(s) no longer use the home as their principal residence.

FHA's HECM (also referred to as Home Equity Conversion Mortgage) provides these benefits. The borrower can also use a HECM to purchase a primary residence if the borrower is able to use cash on hand to pay the difference between the HECM proceeds and the sales price plus closing costs for the property being purchased.

You can use an online Reverse Mortgage calculator to get an idea of what you may be able to borrow.