There are different kinds of reverse home mortgages, and each one fits a different financial need - which of these statements are not true about mortgages. The most popular kind of reverse home mortgage, these federally-insured home mortgages usually have greater in advance costs, but the funds can be used for any purpose. Although extensively readily available, HECMs are just provided by Federal Housing Administration (FHA)- approved lending institutions, and prior to closing, all debtors should get HUD-approved counseling.You can generally receive a larger loan advance from this kind of reverse mortgage, specifically if you have a higher-valued house. This mortgage is not as typical as the other two, and is generally used by nonprofit organizations and state and local federal government firms. Debtors can just utilize the loan (which is generally for a much smaller amount) to cover one specific function, such as a handicap available remodel, describes Jackie Boies, a senior director of real estate and bankruptcy services for Finance International, a nonprofit financial obligation counselor based in Sugar Land, Texas.