How to Vet a Reverse Mortgage Lender
Published July 5, 2026 · Reviewed by Calvin
Vet checklist
- FHA approval: Confirm on HUD’s approved lender list
- NMLS Consumer Access: Verify company and loan officer licenses (when applying through a licensed broker)
- Counseling first: Legitimate process never skips HUD counseling
- Compare LE: Get loan estimates from multiple lenders; compare origination, MIP, and rates
- Servicing reputation: Ask who will service the loan and search CFPB complaints
- No cross-selling: Proceeds should not be tied to buying investments from the same shop
When this is NOT a good fit
- You cannot reliably pay property taxes, homeowners insurance, and maintenance
- You plan to move within a few years
- You need every dollar of home equity preserved for heirs
- Medicaid or SSI eligibility depends on keeping assets below program limits (consult an elder law attorney)
- You were pressured by a salesperson without time to research alternatives