By Tyler Plack
Tyler Plack is the Chief Executive Officer of South River Mortgage. He joined the company as a founding employee in 2017 and served as President before becoming CEO in 2026. Tyler holds an active FHA Direct Endorsement (DE) underwriting certification.
Existing loan: how to contact your servicer
A move or extended absence can affect your reverse mortgage.
Contact the servicer before a planned move, or promptly when circumstances change.
Explain whether the move is temporary or permanent and who remains in the home.
In this article8 sections
How a move can affect the loan
The treatment depends on the loan, the reason for the absence, and any co-borrower or eligible non-borrowing-spouse protections.
A relative living in the home is not automatically a co-borrower or an eligible non-borrowing spouse.
Continue to meet the loan’s other obligations, including required property charges and maintenance.
If a spouse still lives in the home
Contact your loan servicer promptly after the borrower dies or moves into care. Ask which non-borrowing-spouse protections apply to your HECM and what documents and ongoing certifications are required. Eligibility depends on your HECM’s case-assignment date and HUD’s applicable requirements; special exceptions may apply. Do not assume that being married or living in the home establishes eligibility. A deferral does not determine ownership of the home. Ask an attorney about ownership and estate questions separately.
You must continue to meet applicable occupancy, certification and property-charge requirements. If an obligation has been missed, ask the servicer what options remain available. Protection from repayment becoming due does not itself provide access to additional loan advances.
What should heirs do?
Read the due-and-payable notice and contact the servicer promptly. Ask for the response deadline, repayment options, documentation and any available extension in writing. Do not assume that an extension is automatic. If heirs want to keep or sell the home, ask the servicer which HECM repayment and transfer rules apply to the loan and proposed transaction. A HUD-approved housing counselor or attorney can help you understand the options. Ask the servicer and an attorney about any proposed transfer of the property and its consequences before signing.
What If I Eventually Decide to Sell My Home?
You can sell your home.
A reverse mortgage does not mean the lender owns your house.
You still own the home.
But when you sell it, the reverse mortgage generally has to be paid off.
The amount left after paying the reverse mortgage and other costs would belong to you or your estate.
This is important to remember when thinking about your long-term plans.
A reverse mortgage isn’t a promise that you will stay in the home forever.
It’s a loan that can give you access to some of the equity you’ve built while you live there.
What About the Cost of a Nursing Home?
The cost of long-term care can be one of the biggest financial concerns in retirement.
A reverse mortgage may provide access to home equity that could potentially be used for many purposes.
But there is an important distinction:
A reverse mortgage does not pay for a nursing home automatically.
The money you receive from a reverse mortgage can generally be used for your own purposes, but you should consider your complete financial picture before using home equity to pay for long-term care.
You may also want to understand how your income, assets, and any government benefits you receive could be affected.
Because those rules can be complicated, consider speaking with a qualified financial or benefits professional before deciding.
Planning Ahead Can Make a Difficult Time Easier
Nobody likes to think about needing a nursing home.
But planning for the possibility can make things easier for you and your family.
If you have a reverse mortgage, make sure your family knows:
- Who services your reverse mortgage
- Where your loan documents are kept
- What your monthly obligations are
- Who to contact if you move into a care facility
- What should happen to the home if you cannot return
- Whether your spouse is a co-borrower
- What you want your heirs to do with the home
You don’t have to make every decision today.
But having a plan can prevent your family from having to figure everything out during a difficult time.
A Reverse Mortgage Doesn’t Have to Mean Giving Up Your Home
For many people, the goal of a reverse mortgage is simple:
Stay in the home you love while making retirement finances a little easier.
But life can change.
You may eventually decide to move closer to family.
You may need assisted living.
You may need nursing care.
Or you may simply decide that it’s time for a different home.
A reverse mortgage can be part of your retirement plan, but it’s important to understand what happens when your plans change.
And if you’re thinking about getting a reverse mortgage, it’s worth asking not only:
“How can this help me today?”
but also:
“What happens if I can’t live here someday?”
Knowing the answer can give you and your family much more confidence.
Before making a decision
A move or extended absence can affect your reverse mortgage. Contact the servicer before a planned move, or promptly when circumstances change. Explain whether the move is temporary or permanent and who remains in the home. The treatment depends on the loan, the reason for the absence, and any co-borrower or eligible non-borrowing-spouse protections. A relative living in the home is not automatically a co-borrower or an eligible non-borrowing spouse. Continue to meet the loan’s other obligations, including required property charges and maintenance.
Frequently asked questions
What happens if I move into a nursing home?
A move or extended absence can affect your reverse mortgage. Contact the servicer before a planned move, or promptly when circumstances change. Explain whether the move is temporary or permanent and who remains in the home. The treatment depends on the loan, the reason for the absence, and any co-borrower or eligible non-borrowing-spouse protections. A relative living in the home is not automatically a co-borrower or an eligible non-borrowing spouse. Continue to meet the loan’s other obligations, including required property charges and maintenance.
What if my spouse remains in the home?
Contact your loan servicer promptly after the borrower dies or moves into care. Ask which non-borrowing-spouse protections apply to your HECM and what documents and ongoing certifications are required. Eligibility depends on your HECM’s case-assignment date and HUD’s applicable requirements; special exceptions may apply. Do not assume that being married or living in the home establishes eligibility. A deferral does not determine ownership of the home. Ask an attorney about ownership and estate questions separately.
You must continue to meet applicable occupancy, certification and property-charge requirements. If an obligation has been missed, ask the servicer what options remain available. Protection from repayment becoming due does not itself provide access to additional loan advances.
What should my heirs do?
Read the due-and-payable notice and contact the servicer promptly. Ask for the response deadline, repayment options, documentation and any available extension in writing. Do not assume that an extension is automatic. If heirs want to keep or sell the home, ask the servicer which HECM repayment and transfer rules apply to the loan and proposed transaction. A HUD-approved housing counselor or attorney can help you understand the options. Ask the servicer and an attorney about any proposed transfer of the property and its consequences before signing.
Use our reverse mortgage calculator to explore your options, or call 844-230-6679. No pressure. No obligation.
For a new reverse mortgage, request a personalized quote from South River Mortgage.
