What is a reverse mortgage?

A reverse mortgage is a type of home loan specifically designed for senior homeowners who want to convert their home equity into cash. You may qualify if the home is your primary residence and you have a low mortgage balance or own it outright. But is a reverse mortgage a smart financial move? It depends on your situation. How does a reverse mortgage work? Like a traditional mortgage, a reverse mortgage is a home loan that uses your house as collateral. In both cases, your name is on the house deed. H ...