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Reverse Mortgage · The Process

The Reverse Mortgage Process, Step by Step

From your first question to funding, the reverse mortgage process has clear, consumer-protected steps — starting with independent counseling.

MBReviewed by Mike Basti, Mortgage Broker & Founder · NMLS #377740
Quick Answer

The path: 1) HUD-approved counseling; 2) application & financial assessment; 3) appraisal; 4) underwriting; 5) closing (with a right to cancel); 6) funding and payout of your chosen option.

Counseling first

Every borrower completes a session with an independent HUD-approved counselor who explains costs, alternatives, and obligations. You receive a certificate that is required before the loan can proceed — a built-in consumer protection.

Application through closing

After counseling we take your application, order the appraisal, and complete the financial assessment. Underwriting confirms eligibility and any set-aside. At closing you have a three-day right of rescission to cancel. After that, funds are disbursed by your chosen payout method.

Choosing your payout

At funding you select how to receive proceeds: a lump sum, a growing line of credit, monthly payments (tenure or term), or a combination. We help you pick the structure that fits your goals and keeps the most flexibility.

Frequently asked questions

How long does the whole process take?

Typically 30–45 days from counseling to funding, depending on the appraisal and any repairs.

Can I change my mind after closing?

Yes. Federal law gives you three business days after closing to cancel a reverse mortgage on your primary residence.

Do I have to take all the money at once?

No. Only fixed-rate HECMs require a lump sum. Adjustable HECMs let you keep funds in a growing line of credit.

Save Financial is a California-licensed mortgage brokerage (NMLS #377740, DRE #01875766). Figures are illustrative for 2026 and not an offer of credit.

Curious what a reverse mortgage could do for you?

Talk to a licensed California mortgage broker for a free, no-obligation consultation.