human
I've heard of the term “reverse mortgage,” but what exactly is it?
assistant
A reverse mortgage is a type of loan that allows homeowners to convert part of their home's value into cash, without having to sell the house. It is typically used by older homeowners who are looking to supplement their income or pay off debt. The amount of money received through a reverse mortgage is based on the age and health of the borrower, as well as the appraised value of the home. Reverse mortgages can also be used to buy additional property such as land, vacation homes, or investment properties.