Loan program
Reverse mortgage
A specialized option for eligible older homeowners who want to convert home equity into proceeds.
Overview
What it is
A reverse mortgage (most commonly a Home Equity Conversion Mortgage (HECM) insured by FHA) allows eligible older homeowners to convert equity into a line of credit, lump sum, or payments, without a traditional monthly principal-and-interest payment.
You typically remain responsible for taxes, insurance, and keeping the home in reasonable condition. The loan becomes due when you sell, permanently move out, or pass away, subject to program rules.
This is a specialist product. Confirm with a Hancock loan officer whether reverse mortgages are originated for your situation. Do not use this page as a substitute for HUD-required counseling.
Who it may be good for
- Homeowners who meet the age and occupancy rules (HECM is generally 62+).
- Households with substantial equity who want liquidity while staying in the home.
- Families who need a careful conversation about heirs, title, and what happens later, not a TV-ad version of the product.
How it works
- 01
Independent counseling is required for HECM. That is a consumer protection, not red tape.
- 02
The loan amount is based on age, rates, and appraised value, within FHA limits.
- 03
Proceeds can be structured in different ways. The “right” structure depends on why you need the money.
Potential advantages
- Can create liquidity without selling the home, when you qualify.
- No traditional monthly P&I payment on a HECM while you live in the home and keep up taxes and insurance.
Things to consider
- Interest accrues. Equity can decline over time.
- Costs can be significant. Compare against a forward HELOC or selling, honestly.
- Heirs inherit the house subject to the loan. They should understand the timeline.
- Hancock will not originate or describe this as “free money.”
Confirm this program with a Hancock loan officer before assuming it applies to your property or state.
Stay in the house
A reverse mortgage is about remaining in a home you own, with counseling, timing, and trade-offs made plain.
Common questions
Questions about Reverse mortgage loans
No. You remain the owner. The reverse mortgage is a lien, like other mortgages. You must still pay taxes and insurance and maintain the property.
Ready when you are
The house is the point.
Whether you’re buying your first home, moving into your next one, refinancing, or exploring your options, we’re here to help you figure out the next step.