reverse mortgage

noun

: a mortgage that allows an elderly person to convert home equity into available funds through a line of credit, cash advance, or periodic disbursements to be repaid with interest usually when the borrower dies, moves, or sells the home

Examples of reverse mortgage in a Sentence

Recent Examples on the Web With a reverse mortgage, the loan balance grows over time as interest accrues, diminishing the borrower’s ownership stake (equity) in the home. —

Essence, 14 June 2024 Still, reverse mortgages or something like them seem inevitable in a nation where individuals are entirely responsible for their own retirement savings. —

Ron Lieber, New York Times, 19 May 2024 Consider this as purchasing a new home in retirement using a reverse mortgage. —

Jamie Hopkins, Forbes, 28 Mar. 2024 Her father had died suddenly from a heart attack a year and a half earlier, leaving her the family’s Maspeth, Queens, home — and, to her surprise, a reverse mortgage. —

Jake Pearson, ProPublica, 7 Mar. 2024 See all Example Sentences for reverse mortgage

These examples are programmatically compiled from various online sources to illustrate current usage of the word 'reverse mortgage.' Any opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback about these examples.

Word History

First Known Use

1977, in the meaning defined above

Time Traveler

The first known use of reverse mortgage was in 1977

See more words from the same year

Cite this Entry

Style

“Reverse mortgage.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/reverse%20mortgage. Accessed 7 Jul. 2024.

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