Finance of America Reverse Mortgage Review 2025

When larger banks stepped out of the reverse mortgage market in the 2010s, Finance of America gobbled up much of the demand to become one of the biggest names in the field.

Today, FOA is the second-largest reverse mortgage provider after Mutual of Omaha. In 2024, it originated 8,995 loans, worth a total $1.9 billion.

We like that the Tulsa-based lender focuses exclusively on reverse mortgages, offering government-insured home equity conversion mortgages (HECMs), the proprietary HomeSafe loan available for up to $4 million and HomeSafe Second, a reverse mortgage that operates like a HELOC.

It also stands out for customer service, with each client paired with a borrower care team member who guides them through the application process and manages their loan

A reverse mortgage is a home loan that allows homeowners to access cash by borrowing against their home equity. Backed by the Federal Housing Authority, HECMs are available to seniors 65 and older. Some lenders have proprietary reverse mortgages, typically accessible to owners 55 and older.

In both cases, the loan and any interest do not come due until the borrower moves out of their house, stops using it as their primary residence or dies.

The lender can also require full payment if the borrower doesn’t stay current on property taxes, homeowners’ insurance or household maintenance.

There are no credit score or income requirements but applicants:

• Typically need 50% home equity
• Must use the property as their primary residence
• Complete a HUD-approved counseling session
• Be current on any student loans, tax payments or other federal debt

Finance of America offers standard HECMs and a proprietary jumbo loan, HomeSafe, in all 50 states. HomeSafe Second, a second-mortgage product, is available in Arizona, California, Colorado, Connecticut, Florida, Montana, Nevada, Oregon, South Carolina, Texas, Utah and Washington.

Home equity conversion mortgages

The most common type of reverse mortgage, HECMs are insured by the Federal Housing Administration and available to homeowners 62 or older. Borrowers must pay a mortgage insurance premium of 0.50% of the outstanding loan balance each year.

• Loan maximum: $1.2 million
• Disbursement options: Monthly payment, lump sum payment or a line of credit
• Rates: Fixed or variable rates available

HomeSafe

HomeSafe is Finance of America’s exclusive jumbo loan. Because it’s not backed by the FHA, it has more flexible terms and requirements than an HECM and borrowers can be approved for up to $4 million.

The high loan limit makes it an option for homeowners with high-value homes or condos, who are usually ineligible for HECMs.

HomeSafe is available nationwide to homeowners 55 and older (60+ in Massachusetts, New York and Washington and 62+ in North Carolina and Texas). Mortgage insurance premiums are not required on HomeSafe loans.

• Loan maximum: $4 million
• Disbursement options: Monthly payment, lump sum payment or a line of credit
• Rates: Fixed or variable rates available

HomeSafe Second

HomeSafe Second is structured similarly to a second mortgage or HELOC, but has the terms and requirements of a reverse mortgage. You’ll keep the rate on your primary mortgage while pulling additional cash from your equity. No payment is due until the borrower moves out of the house or dies.

• Loan maximum: $1 million
• Disbursement options: Monthly payment, lump sum payment or a line of credit
• Rates: Fixed or variable rates available

Unlike other lenders, Finance of America‘s primary business is reverse mortgages. Each borrower is paired with a dedicated agent who can help them make the best choices.

FOA earned a high rating from credit rating agency Morningstar, which praised its executives’ experience, as well as the “focused origination and underwriting practices, solid control environment and reliable loan performance.”

The Better Business Bureau awarded FOA an A+, based on transparency, truthful advertising, and its response to consumer complaints.

Here’s how Finance of America stands up to two major players in the market.

Finance of America vs. Longbridge

Finance of America and Longbridge are both focused on the reverse mortgage market, but FOA has more options for second mortgages. Its HomeSafe Second product is available in multiple states for up to $1 million and can be dispersed as a loan, line of credit or in fixed payments.

Longbridge’s HELOC for seniors is only available for up to $400,000 and only in California. In addition, it can only be dispersed as a line of credit that borrowers must make monthly interest payments on.

Finance of America vs. Mutual of Omaha

 and Mutual of Omaha both have reputations for excellent customer service and a range of reverse mortgage products. But only MoA has robust digital tools, an online application and an easy to use mobile app.

In addition, Mutual of Omaha refinances reverse mortgages and offers HECMs for Purchase, which allows seniors to use their reverse mortgage to buy a new primary residence.

FOA doesn’t provide either service.

Finance of America does not have an online application, but you can fill out a questionnaire on the website or call 800-841-3723 to start the process.

You’ll need a photo ID, your Social Security number, the deed to your house, home loan statements, proof of property tax and homeowners’ insurance payments and documents related to the home’s maintenance.

As with any reverse mortgage, you’ll also have to schedule a session with a HUD-approved housing counselor.

Your home must also be appraised before the underwriting process begins.

Finance of America is a great option if you’re looking for a reverse mortgage from a lender with a variety of options and excellent customer service.

Its digital offerings are a bit lackluster, however, and homeowners can’t apply online.

In addition, if you want to refinance, are looking for a HECM for purchase or are interested in a second mortgage and live outside the 12 states that offer HomeSafe Second, you’ll need to choose another lender.

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