Quick Answer
The biggest regret is not getting one sooner — the HECM line of credit grows each year it sits unused, and ten years of growth is gone permanently when you wait — followed by not understanding the non-borrowing spouse provisions and taking a lump sum when a line of credit would have been better.
- The most common regret: waiting too long, losing years of credit line growth.
- Second most common: not understanding non-borrowing spouse provisions before a death.
- Third most common: taking a lump sum when a line of credit would have cost less.
- Borrowers who understood the product and chose the right structure rarely regret the decision.
- Every regret traces back to information the borrower did not have at origination.
- Education before transaction prevents all three.
Key Facts
| Topic | Key Fact |
|---|---|
| Top regret | Waiting — lost years of credit line growth cannot be recovered |
| Second regret | Non-borrowing spouse provisions not understood until too late |
| Third regret | Lump sum taken when line of credit would have been better |
| Decision satisfaction | Borrowers who understood the product report high satisfaction |
| Common thread | Every regret traces to missing information at origination |
| Prevention | Education before transaction |
| Credit line growth | Unused portion grows each year |
| Originator responsibility | Explaining all options clearly at closing |
Detailed Explanation
The biggest regret I hear is not getting one sooner. That sounds like a sales line but it is genuinely what people tell me, and the math explains why. The HECM line of credit grows each year it sits unused. A borrower who establishes the credit line at 65 and does not need it until 75 has a substantially larger available reserve than one who waits until 75 to set it up. Ten years of growth is gone permanently when you wait.
The second most common regret is not understanding the non-borrowing spouse provisions before it was too late. A widow calls after her husband's death and discovers she was not on the note — she can stay in the home but cannot access remaining credit line funds, and the tenure payments covering her property taxes have stopped. That regret belongs to the originator who did not explain the distinction, not to the family, but the family lives with the consequence.
The third is taking a lump sum when a line of credit would have been better. A borrower who took the full amount at closing to pay off a $150,000 mortgage on a $500,000 principal limit is now accruing interest on $500,000 instead of $150,000. The remaining $350,000 could have been growing in a credit line rather than compounding against them. This happens when the originator offers only the fixed-rate product or does not explain the alternative.
What people do not typically regret is the decision itself. Borrowers who understood what they were getting, chose the right structure, and used the proceeds for a purpose that genuinely improved their life overwhelmingly report that the loan did what they needed. The common thread in the regrets is information — every one traces back to something the borrower did not know at the time of the decision.
Jay Zayer, CRMP — 18 Years Experience
I ask every client at closing to tell me what they chose and why. Not because I am testing them, but because I want to hear them say it in their own words. If they cannot explain the structure they chose, we are not done talking. The worst outcome in this business is not a lost sale — it is a client who made a decision they did not understand and discovers the consequences ten years later.
Who This Is Right For
This may be a good fit if:
- Homeowners weighing whether to proceed with a reverse mortgage
- Adult children concerned about a parent's reverse mortgage decision
This may NOT be the right fit if:
- Nobody — understanding common regrets helps every prospective borrower make a better decision
Common Misconception
Myth: Most people regret getting a reverse mortgage.
Fact: Borrowers who understood the product and chose the right structure report high satisfaction. The regrets that exist almost always trace to missing information at origination — waiting too long, not understanding spouse provisions, or taking the wrong payout structure.
Source: CFPB: Reverse mortgage borrower experience reports — consumerfinance.gov
Authoritative Sources
- CFPB: Reverse mortgage borrower experience — consumerfinance.gov
- HUD: HECM program provisions — hud.gov
- HUD Mortgagee Letter 2014-07: Non-borrowing spouse — hud.gov
People Also Ask
Do people regret getting a reverse mortgage?
Borrowers who understood the product and chose the right structure rarely regret it. The regrets that exist trace to missing information — waiting too long, not understanding spouse provisions, or taking the wrong payout structure.
What is the most common mistake?
Waiting. The HECM line of credit grows each year it sits unused, and that growth cannot be recovered. Establishing it earlier produces a larger reserve when needed.
How do I avoid making a mistake?
Work with a CRMP who explains all options, understand the non-borrowing spouse provisions if married, and compare fixed versus adjustable structures before choosing.