Best reverse mortgage lenders in 2024
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Reverse mortgages allow homeowners aged 62 or older to tap into their equity and receive tax-free cash payments while remaining in their homes. However, even the best reverse mortgages can be complicated and expensive, so if you’re considering one of these loans, it’s crucial to shop around to find the right lender for you. To simplify things as you compare reverse mortgages, we’ve rounded up a list of the best reverse mortgage companies to consider.
Bankrate’s picks for the best reverse mortgage lenders
American Advisors Group (AAG)
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In terms of loan originations, AAG is the largest reverse mortgage lender in the U.S. It’s a division of Finance of America Reverse, another major reverse mortgage lender.
Finance of America Reverse (FAR)
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Finance of America Reverse’s reverse mortgage packages include unique options for different types of borrowers.
Longbridge Financial
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Longbridge Financial is one of the top 5 reverse mortgage lenders in the U.S.
Mutual of Omaha Reverse Mortgage
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Mutual of Omaha offers the option to refinance your reverse mortgage (whether it’s with Mutual or another lender) to a better interest rate and/or higher amount.
How to find a reverse mortgage lender
You can start exploring reverse mortgage options in your state using HUD’s FHA lender search tool. The search function allows you to search for HECM lenders by state, county and zip code. Just check off the “Reverse Mortgages” filter.
Keep in mind: Not every mainstream mortgage lender does reverse mortgages. Rather than looking to your bank, you might be better off with a lender that specializes in these types of loans.
When comparing your top reverse mortgage companies, consider what’s most important to you: your bottom line (the cost), the convenience of the experience and service, or a combination:
- Costs – While there are no monthly payments with a HECM, it’ll still cost you money to obtain via the interest rate and fees. The closing costs for a HECM are fairly standard across the board, but there are some services that cost more or less depending on the lender. That said, you might be able to negotiate closing costs with the lender.
- Customer service – Reverse mortgages have a complicated set of rules, and if you don’t adhere to them, you could lose your home. Pay attention to how responsive the lender is to your queries and customer reviews and testimonials.
Be wary of reverse mortgage scams. These include claims that a reverse mortgage could help you put off claiming Social Security benefits or buy a home with no money down, or require you to sign a document with blank fields.
Who are the largest reverse mortgage lenders in the U.S.?
As of June 2024, the largest HECM lenders based on originations are:
- Finance of America Reverse (FAR)
- Mutual of Omaha Reverse Mortgage
- Longbridge Financial
- Liberty Reverse Mortgage
- Fairway Independent Mortgage
- Guild Mortgage Company
- GoodLife Home Loans
- South River Mortgage LLC
- Plaza Home Mortgage Inc.
- Movement Mortgage LLC
Additional reverse mortgage resources
If you’d like to learn more about reverse mortgages, explore these resources from Bankrate:
- Reverse mortgage resource hub
- Reverse mortgage pros and cons
- How do you pay back a reverse mortgage?
- Reverse mortgage requirements
- Home equity loan or HELOC vs. reverse mortgage: Which is right for you?
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To determine the best reverse mortgage lenders, Bankrate evaluated lenders based on availability, affordability and borrower experience. Learn more about our methodology.
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