Reverse mortgage applications have jumped 40% as cash-strapped Baby Boomers tap home equity to fund retirement, with the average applicant pulling $180,000 from properties worth $450,000 or more.

Driving Factors

Inadequate retirement savings, rising healthcare costs, and longer life expectancies are pushing more seniors to use their home as a financial tool. The average reverse mortgage applicant is 72 years old.

Modernized Products

New HECM products offer more flexibility than traditional reverse mortgages, including credit lines that grow over time and options that protect a portion of equity for heirs.