You can now use a Reverse Mortgage to purchase your primary residence.

Why would someone choose to do that?

Example Scenarios

Couple is downsizing and buying their final retirement home. They have $400k to buy the property cash as they do not want to have a mortgage payment. However, the home they like is $600k.  They could get a traditional mortgage of $200k and have a mortgage payment ....or, get a Reverse Mortgage for $200k and have no mortgage payment.

Alternatively, they may not want to exhaust all availabe funds in the purchase transaction and keep back some for other purposes.

Either way, the Reverse Mortgage for purchase allows these options.

NOTE: Monthly payments are optional. Taxes, Insurance and HOA Dues, if any, are required to be paid by the homeowner.