What Is a Reverse Mortgage Second?
A second-lien reverse mortgage is a newer home-equity product designed for eligible older homeowners. Here is what it is, how it differs from a traditional reverse mortgage, and who may want to explore it.
If you have heard the term "reverse mortgage second" and wondered what it means, you are not alone. It is a newer product category that many homeowners — and even some mortgage professionals — are still learning about.
A second-lien reverse mortgage is a proprietary home-equity product designed to sit behind an existing first mortgage. Unlike a traditional reverse mortgage, certain second-lien reverse mortgage products are specifically designed to allow the existing first mortgage to remain in place.
Depending on the product and borrower eligibility, a reverse mortgage second may allow eligible older homeowners to access a portion of their home equity while keeping their existing first mortgage in place.
Product features, availability, minimum age, equity requirements, loan amounts, costs, and repayment terms vary. Not all homeowners will qualify.
NMLS Individual #1087365 · NMLS Company #1147207 · CA DRE #01265685
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Written by
Stephanie Pedley
Mortgage professional and real estate broker with 34+ years of experience in lending, underwriting, and loan strategy. Licensed in California, Colorado, Texas, and Ohio. NMLS Individual #1087365 · NMLS Company #1147207 · CA DRE #01265685.