HECM is FHA's reverse mortgage program for eligible homeowners age 62+.
A Home Equity Conversion Mortgage is fundamentally different from a forward FHA mortgage. It converts eligible home equity into available loan proceeds while the borrower retains ownership, subject to the program's obligations.
Age
HECM is designed for eligible homeowners age 62 or older. When multiple borrowers are involved, age and eligible/non-borrowing-spouse rules require careful analysis.
How repayment works
HECM generally does not require the same scheduled monthly principal-and-interest payment as a forward mortgage. The loan becomes due under program-defined maturity events, including when the last eligible borrower no longer occupies the property as a principal residence, subject to HUD rules.
Borrower responsibilities continue
The homeowner remains responsible for property taxes, homeowners insurance, property charges and maintaining the home according to HECM requirements.
Counseling
HECM includes HUD-required counseling before the loan can proceed. Financial assessment and property eligibility also apply.
Official program sources
Primary sources are HUD/FHA program pages and Handbook 4000.1. Program availability and lender participation can be narrower than statutory eligibility, so a program's existence does not mean every FHA lender offers it.