A reverse mortgage pays off your existing mortgage, should you have one, by allowing you access to the home equity you’ve worked so hard to build. Any money left after paying off your existing mortgage is available to use as you see fit. A reverse mortgage is a loan for seniors age 62 and older. Hecm reverse mortgage loans are insured by the federal housing administration (FHA) and allow homeowners to convert their home equity into cash with no monthly mortgage payments.