Reverse Mortgage · Tennessee · Age 62+

Reverse mortgage options for Tennessee homeowners.

If you're 62 or older and own your Tennessee home outright — or have significant equity — a HECM reverse mortgage may let you access that equity without a monthly mortgage payment. Tennessee has its own HECM Act layered on top of federal rules, built specifically to protect seniors through this process.

62+
Minimum age
FHA
Insured program
TN HECM Act
State-level protection
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How it works

Reverse mortgages in Tennessee.

A HECM (Home Equity Conversion Mortgage) is a reverse mortgage insured by the FHA, available nationwide to eligible homeowners 62 and older. Tennessee homeowners have an added layer of protection: the state's own Home Equity Conversion Mortgage Act, which reinforces the federal counseling requirement and helps make sure Tennessee seniors work only with vetted, HUD-approved lenders before committing to anything.

Instead of you paying the lender each month, eligible proceeds can flow to you — as a line of credit, monthly advances, a lump sum, or a combination — while you continue living in the home as your primary residence and stay current on property taxes, homeowners insurance, and basic upkeep.

Common reasons homeowners explore this
Paying off an existing mortgage, retirement cash-flow flexibility, establishing a line of credit, aging in place, or covering major home or healthcare expenses.
Where it fits best
Homeowners who plan to stay in their Tennessee home long-term and want to reduce or eliminate a monthly mortgage payment.
Eligibility overview

What Tennessee homeowners need to qualify.

What affects your numbers

Home value, existing balance, and your proceeds.

How much equity may be available generally depends on your age (older borrowers can typically access more), your home's appraised value, current interest rates, and the specific loan program. If you still owe money on your home, that balance is generally paid off first at closing using loan proceeds — any remaining eligible amount is then available to you.

There's no single number that applies to every Tennessee homeowner. Your HUD counseling session and a personal review of your numbers with Trevor are how you get a real answer for your specific situation. See the factors behind your estimate →

Required before you apply

HUD counseling comes first.

Federal law requires an independent counseling session with a HUD-approved counselor before any HECM application can move forward — and Tennessee's HECM Act reinforces this at the state level. The counselor doesn't work for Trevor, NEXA Mortgage, or any lender.

Need help locating a counselor?

Sessions are typically done by phone, take about an hour, and produce a certificate valid for 180 days. Tennessee does not require in-person counseling. Call for a referral to a HUD-approved counselor serving Tennessee.

HUD's official counselor search is also available directly at hud.gov/program_offices/housing/sfh/hcc/hcc_home.

What heirs should know

Your home, your heirs' options.

You retain title to your home throughout the loan. When the loan becomes due — typically when the last borrower sells, permanently moves out, or passes away — your heirs generally have options: repay the loan and keep the home, sell the home and keep any remaining equity, or walk away with no further obligation. HECM loans are non-recourse, meaning heirs will never owe more than the home is worth at repayment, regardless of the loan balance.

Statewide

Serving homeowners throughout Tennessee.

Trevor works with qualifying Tennessee homeowners statewide, including Memphis, Germantown, Bartlett, and Collierville, along with homeowners in Nashville, Knoxville, Chattanooga, Murfreesboro, and Jackson. Reverse mortgage rules, HUD counseling requirements, and Tennessee's HECM Act apply the same way regardless of where in the state you live.

Specific to Memphis, Germantown, Bartlett, and Collierville homeowners.
Not sure this is the right fit? Compare it against a HELOC first.
FAQ

Tennessee reverse mortgage questions answered.

Does Tennessee require anything beyond federal HECM rules?
Yes. Tennessee's Home Equity Conversion Mortgage Act adds state-level protections on top of federal HUD/FHA requirements, reinforcing the counseling requirement and lender vetting.
Do I have to make monthly mortgage payments?
No traditional principal-and-interest payment is required, as long as you live in the home as your primary residence and stay current on property taxes, insurance, and maintenance.
Can I get a reverse mortgage if I still owe money on my house?
Often, yes. Your existing balance is typically paid off first from the loan proceeds at closing, if there's sufficient equity to do so.
Are reverse mortgage proceeds taxable income?
Reverse mortgage proceeds are generally loan advances, not income — but tax treatment can depend on your individual situation. Consult a qualified tax professional for advice specific to you.
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