Assessing Reverse Mortgages as a Viable Retirement Security Alternative

Abstract

Developed as an income security alternative, reverse mortgages allow seniors to convert their home equity into cash income. This report provides the U.S. Government Accountability Office an assessment of the risks to borrowers, lenders, and the government. The authors conclude that reverse mortgages represent a viable retirement security alternative, as long as borrowers are willing to incur the high upfront costs and rules and regulations are enforced.