Proprietary Reverse Mortgages for Homeowners 55 and Older
Borrow against a higher-value home with loan amounts up to $4 million, starting at age 55, with no monthly mortgage payment required.
- Starts at age 55
- Loans up to $4 million
- No FHA mortgage insurance
What Is a Proprietary Reverse Mortgage?
A proprietary reverse mortgage works like a HECM reverse mortgage: you borrow against your home equity, keep the title, and make no required monthly mortgage payment. The difference is that a private lender designs and backs the loan instead of FHA. These loans are often called jumbo reverse mortgages.
We arrange HomeSafe loans, which come as a fixed-rate lump sum, a line of credit, or a second mortgage that leaves your current first mortgage in place. As a mortgage broker, we can price a HomeSafe loan and a HECM side by side so you can see which leaves you with more.
Why Choose a Proprietary Reverse Mortgage?
More of your equity, earlier in retirement, on the home you already own.
Built for Higher-Value Homes
A HECM counts your home’s value only up to $1,249,125. HomeSafe loans go up to $4 million.
Start at 55
Get access to your equity seven years before you could qualify for a HECM.
Keep Your Low Rate
HomeSafe Second sits behind your current first mortgage, so you keep its rate.
No FHA Mortgage Insurance
No 2% upfront FHA premium and no 0.5% annual premium.
No Monthly Payment
No required payment on the reverse mortgage. Pay if and when you choose.
Non-Recourse Protection
Neither you nor your heirs will owe more than the home is worth.
Three Ways to Use Your Equity
HomeSafe loans are proprietary products, not part of the FHA HECM program.
HomeSafe Standard
One payout at closing at a fixed rate. A good fit for paying off an existing mortgage or a large one-time need.
- Fixed rate
- Loan amounts up to $4 million
- Can pay off your current mortgage
HomeSafe Select
A line of credit you draw on when you need it, with an adjustable rate. You pay interest only on what you use.
- Adjustable rate
- Loan amounts up to $4 million
- Draw funds as you need them
HomeSafe Second
Borrow against your equity without touching your first mortgage. You keep making your first mortgage payment and make no required payment on the second.
- Keep your current first mortgage
- Fixed rate, from about $50,000 to $1 million
- Lump sum or draws over time
When a Proprietary Loan Beats a HECM
Both are reverse mortgages with the same basic rules. The right one depends on your age, your home’s value, and your current mortgage.
| HomeSafe | HECM | |
|---|---|---|
| Minimum age | 55 in California | 62 |
| Home value used | Loans up to $4 million | Capped at $1,249,125 (2026) |
| Your first mortgage | Pay it off, or keep it with HomeSafe Second | Must be paid off at closing |
| Mortgage insurance | None | 2% upfront plus 0.5% a year |
| Interest rate | Usually higher | Usually lower |
| Monthly payouts | Not offered | Available for life or a set term |
| Condos | Reviewed by the lender; FHA approval not required | Must meet FHA condo approval rules |
| Backed by | A private lender | FHA insurance |
A HomeSafe Loan Is Often the Better Fit When
Your home is worth well over $1.25 million
A HECM ignores any value above the limit, so a $3 million home is treated as a $1,249,125 home. HomeSafe lends against more of your actual value, which usually means much more cash.
You are between 55 and 61
You don’t qualify for a HECM until 62. HomeSafe lets you pay off a mortgage or free up cash now, for example to retire early or help family.
You have a low-rate first mortgage you want to keep
A HECM must pay off your current loan. HomeSafe Second leaves your first mortgage and its rate in place and adds a second loan with no required monthly payment.
Your condo isn’t FHA-approved
Many condo complexes are not on FHA’s approved list, which rules out a HECM. HomeSafe reviews the condo on its own terms.
You want to avoid FHA mortgage insurance
On a HECM at the limit, the 2% upfront premium alone is about $25,000. HomeSafe has no FHA premium, which can offset its higher rate.
A HECM May Still Be the Better Choice When
- Your home is worth less than the HECM limit, where a HECM often gives you more money at a lower rate
- You want guaranteed monthly payments for life
- You want an FHA-insured line of credit whose unused balance grows over time
- You want the backing of FHA insurance
Do You Qualify?
HomeSafe guidelines are set by the lender. To qualify, you’ll need:
- At least one borrower age 55 or older
- Enough equity for the loan you need (HomeSafe loans typically start around $200,000)
- The home is your primary residence
- Ability to keep paying property taxes, insurance, HOA dues, and upkeep
- A session with an independent reverse mortgage counselor, which California requires
See How Much You Could Receive
We’ll compare HomeSafe and HECM estimates for your age, home value, and current mortgage. Free and no pressure.
Prefer email? Send us a messageProprietary Reverse Mortgage Questions
How is a proprietary reverse mortgage different from a HECM?
A HECM is insured by FHA, starts at 62, and counts your home’s value only up to $1,249,125 in 2026. A proprietary reverse mortgage is designed and backed by a private lender, starts at 55 in California, lends up to $4 million, and has no FHA mortgage insurance. Rates are usually higher than on a HECM.
Is a jumbo reverse mortgage the same thing?
Yes. Proprietary reverse mortgages are often called jumbo reverse mortgages because they are mostly used on homes worth more than the HECM limit.
Can I keep my current mortgage?
Yes, with HomeSafe Second. It sits behind your existing first mortgage, so you keep that loan and its rate and keep making its payment. There is no required monthly payment on the HomeSafe Second loan. Read more about how a reverse second mortgage works.
Will I still own my home?
Yes. You keep the title. You must live in the home as your primary residence and keep up with property taxes, insurance, and maintenance, or the loan can become due.
What happens when I pass away or move out?
The loan is repaid, usually by selling the home. Your heirs can sell and keep any remaining equity, or pay off the loan and keep the home. Neither you nor your heirs will owe more than the home is worth.
Does a proprietary reverse mortgage cost more than a HECM?
The interest rate is usually higher, but there is no FHA mortgage insurance. On a higher-value home the savings on mortgage insurance and the larger loan amount often outweigh the higher rate. On a home below the HECM limit, a HECM usually costs less. We price both so you can compare.
Can I use one if I live in a condo?
Often, yes. A HECM requires the condo to meet FHA approval rules. HomeSafe reviews the condo under its own guidelines, so many condos that don’t qualify for a HECM can qualify for a HomeSafe loan.
Is the money taxable?
Reverse mortgage proceeds are loan funds, so they generally aren’t taxed as income. Interest isn’t deductible until the loan is repaid. Talk to a tax advisor about your situation.
HomeSafe is a proprietary reverse mortgage product. It is not a HECM and is not insured or endorsed by HUD or FHA. Ages, loan amounts, rates, and availability are set by the lender and can change. Interest and fees are added to the loan balance over time. The loan must be repaid when the last borrower sells, moves out permanently, or passes away, or if the loan terms are not met. Choice One Mortgage is a mortgage broker.
Reverse Mortgage Guides
Real California scenarios that show which reverse mortgage fits.
Reverse Mortgages in California: HECM or HomeSafe?
Seven California scenarios showing when a HECM or a HomeSafe loan makes the most sense.
Read the guide →
Reverse Second Mortgage: Keep Your Low Rate
Use your equity with no new monthly payment while your low-rate first mortgage stays in place.
Read the guide →Run the Numbers First
Compare your current mortgage costs and see what a change could free up.
Get Started in 3 Simple Steps
Free Consultation
We review your goals and price HomeSafe and HECM options side by side.
Independent Counseling
Meet with an independent reverse mortgage counselor, as California requires.
Close and Access Funds
Take a lump sum, open a line of credit, or keep your first mortgage with HomeSafe Second.