The Application Process

1. Borrower’s must complete a mandatory Reverse Mortgage counseling. Counseling costs are usually between $125-$175. A counseling certificate must be submitted to move forward with the application process.   Some counselors offer no-cost grants for eligible borrowers.                                            

2. Complete a lender’s application. If you’ve decided to move forward, next, you’ll complete and submit your application.  Application documents are also required at this time.                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                                          

3. Appraisal. Your home will be appraised by an FHA-approved appraiser to determine the value.             

4. Underwriting. The lender will  work with the applicant to clear up any questions.                                                                                

5. Clear to Close. Once the lender has finished underwriting and has approved the application, the status will be changed to “clear to close”. This means that everything has been completed and the notary can be scheduled.                                                                                                                                                                                     

6. Closing. The lender and the applicant set a closing date where a notary meets with the applicant to  sign the final closing documents. This is the applicant’s opportunity to review the closing  documents to make sure that everything is accurate.