The upfront costs will vary depending on the amount of closing costs in a borrower's estate. But these expenses can become part of the loan balance, costing the borrower little upfront. The high cost of taking on a reverse mortgage is the main reason why the elderly who do not plan on staying in their homes for a long time should not consider this option, Belling said. Selling the home or getting financial help from the state or community agencies to finance things such as home repairs may be a better option, she said. In addition to the HECM, there is a new type of reverse mortgage called the homekeeper.
Experts suggest talking to a lawyer or accountant before taking on a reverse mortgage.
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