Definition
Programs that make an arrangement which allows older adults who have equity in their homes to obtain cash from their homes without selling them in order to pay for home health care and other needed services and avoid institutionalization (or to use for other purposes). The individual may either obtain a reverse annuity mortgage which provides an annual income for the individual and may also include a lifetime tenancy, or sell and lease back his/her home on a basis that guarantees lifetime tenancy. The institution providing the annuity receives title to the house or cash from the sale only when the older person dies or moves away. In the sale-leaseback arrangement, the title to the house is transferred to the lender immediately. Most of these programs provide counseling regarding the general benefits of reverse mortgages, and some may evaluate an individual's personal financial situation and recommend a reverse mortgage if it would be to the person's advantage.
URL Name
LH-4000-7000
Third Level Code
LH-4000
Taxonomy Code
LH-4000.7000
Parent Code
LH-4000
Family Code
L
Second Level Code
LH
Fourth Level Code
LH-4000-7000
Use References
Home Equity Conversions, Reverse Mortgages, Older Adult Reverse Mortgage Programs, Older Adult Reverse Mortgages, Senior Reverse Mortgages, Senior Reverse Mortgage Programs
Publication Status
Online