There are various types of reverse home loans, and every one fits a different financial need - how does bank know you have mutiple fha mortgages. The most popular type of reverse home loan, these federally-insured home loans normally have greater in advance costs, but the funds can be utilized for any function. Although widely available, HECMs are only provided by Federal Real estate Administration (FHA)- authorized lenders, and before closing, all debtors should receive HUD-approved counseling.You can usually receive a larger loan advance from this type of reverse home mortgage, specifically if you have a higher-valued home. This mortgage is not as common as the other 2, and is normally provided by nonprofit companies and state and regional federal government firms. Customers can just use the loan (which is generally for a much smaller amount) to cover one specific purpose, such as a handicap accessible remodel, describes Jackie Boies, a senior director of real estate and personal bankruptcy services for Finance International, a not-for-profit financial obligation therapist based in Sugar Land, Texas.