At Brian Gentry Mortgage, we help Saint Paul homeowners aged 62 and older understand how a reverse mortgage can unlock that equity and put it to work — giving you greater financial freedom, breathing room in your monthly budget, and the ability to stay in the home you love for as long as you choose.

This page is designed to give you a clear, honest, and thorough understanding of reverse mortgages in Saint Paul, MN — what they are, how they work, who they are best suited for, and what to expect when you work with our team.

What Is a Reverse Mortgage?

A reverse mortgage is a home loan specifically designed for homeowners aged 62 and older. It allows you to convert a portion of your home equity into loan proceeds — without selling your home, without giving up ownership, and without making monthly mortgage payments.

Unlike a traditional mortgage where you borrow money and pay it back over time through monthly payments, a reverse mortgage works in the opposite direction. The lender makes funds available to you based on your age, your home’s appraised value, and current market conditions. The loan balance grows over time as interest accrues, but repayment is not required until you sell the home, permanently move out, or pass away.

The most widely used type of reverse mortgage is the Home Equity Conversion Mortgage, commonly known as the HECM. This program is insured by the Federal Housing Administration and regulated by the U.S. Department of Housing and Urban Development. Because of this federal backing, HECMs come with strong consumer protections that make them one of the most carefully regulated loan products available to American seniors today.

How Does a Reverse Mortgage Work in Practice?

When you take out a reverse mortgage, the lender calculates how much equity you can access based on several factors — primarily your age, the appraised value of your home, and current lending guidelines. The older you are and the more equity you have, the more you may be able to access.

You then choose how you would like to receive those funds. The HECM program offers several options. You can receive a lump sum payment all at once. You can set up a line of credit that you draw from as needed, which many borrowers find especially useful as a financial safety net. You can receive fixed monthly payments that supplement your income. Or you can combine these options in a way that works best for your situation.

Throughout the life of the loan, you continue living in your home. You remain on the title. You are still the homeowner. Your only ongoing obligations are to live in the home as your primary residence, keep current on property taxes and homeowners insurance, and maintain the property in reasonable condition.

The loan becomes due when you sell the home, move into a care facility permanently, or when the last borrower on the loan passes away. At that point, the loan balance — including principal, accrued interest, and fees — is repaid, typically through the sale of the home.

Who Is a Reverse Mortgage Best Suited For?

Saint Paul is a city with character. Its neighborhoods each have their own identity — from the grand historic homes along Summit Avenue to the welcoming, well-kept streets of Highland Park and the close-knit communities of the East Side. Many of the homeowners who live in these neighborhoods have been there for a long time, and many are approaching or well into their retirement years.

A reverse mortgage tends to be a good fit for homeowners who meet all of the following general criteria: you are 62 or older, your home is your primary residence, you have significant equity built up in the property, and you plan to continue living in the home for the foreseeable future.

Beyond those basics, the homeowners who tend to benefit most from reverse mortgages in Saint Paul share one or more of the following situations.

Homeowners who want to eliminate their existing mortgage payment. If you still have a balance remaining on your traditional mortgage, a reverse mortgage can pay it off — and in doing so, eliminate that monthly payment from your budget entirely. For many retirees living on a fixed income, this single outcome alone can be financially transformative.

Homeowners who need to supplement retirement income. Social Security and pension income do not always stretch as far as expected. A reverse mortgage can provide a steady monthly supplement or an accessible line of credit to cover the gap.

Homeowners facing rising healthcare costs. In-home care, prescription medications, medical equipment, and home modifications for aging in place can all be costly. Reverse mortgage proceeds give you a way to address these expenses without depleting savings or selling assets.

Homeowners who want a financial safety net. Even if you do not need the money right now, establishing a reverse mortgage line of credit while you are younger and your home value is strong can be a smart long-term strategy. The available credit can grow over time and be there when you need it.

Homeowners who want to age in place. The Twin Cities area has a lot of resources for seniors who want to remain independent in their own homes, and a reverse mortgage can be the financial piece that makes that goal sustainable over the long term.

The Types of Reverse Mortgages Available in Minnesota

Not every reverse mortgage is the same. Brian Gentry Mortgage helps Saint Paul homeowners explore all of the options available and identify which product is the right match for their circumstances.

Home Equity Conversion Mortgage (HECM)

The HECM is the flagship reverse mortgage product in the United States. It is federally insured, heavily regulated, and available to homeowners aged 62 and older who meet eligibility requirements. It offers the most flexibility in terms of disbursement options and comes with the strongest consumer protections of any reverse mortgage product. If you have heard people talking about reverse mortgages in general, they are almost certainly referring to the HECM.

HECM for Purchase

This specialized version of the HECM program allows eligible borrowers to use reverse mortgage financing to purchase a new primary residence. If you are thinking about downsizing, moving closer to family, or finding a home that better suits your needs in retirement, the HECM for Purchase program lets you do so without taking on a monthly mortgage payment. You make a substantial one-time down payment and the reverse mortgage covers the rest. It is an option that many Minnesota seniors are not aware of but find very appealing once they learn about it.

Proprietary Reverse Mortgages

For homeowners with higher-value properties — particularly in upscale Saint Paul neighborhoods like Crocus Hill, Cathedral Hill, or areas with premium real estate along the Mississippi River — the standard HECM program may not allow access to the full equity available. Proprietary reverse mortgages, sometimes called jumbo reverse mortgages, are private loan products that can provide access to larger loan amounts for eligible borrowers. Our team can help you determine whether a proprietary product might be worth exploring alongside the HECM.

The Reverse Mortgage Process: What to Expect with Brian Gentry Mortgage

We have built our process around one principle: making sure you feel informed, comfortable, and confident at every stage. Here is what the journey typically looks like.

Initial Consultation

Everything starts with a conversation. We sit down with you — and with any family members you would like to include — to understand your situation, your goals, and your questions. There is no pressure, no sales pitch, and no obligation. We want to understand your life before we talk about your loan.

Independent HUD-Approved Counseling

Federal law requires all HECM applicants to complete a counseling session with an independent HUD-approved housing counselor before an application can be submitted. This is not a formality — it is a meaningful consumer protection designed to ensure you fully understand the loan product, your alternatives, and your obligations as a borrower. We help you locate and schedule a qualified counselor in the Saint Paul area and walk you through what to expect from the session.

Loan Application

Once counseling is complete and you have decided to move forward, we submit your formal loan application. We gather the necessary documentation and begin the process of preparing your file for underwriting.

Home Appraisal

A licensed appraiser will assess your Saint Paul property to determine its current market value. This appraisal plays a central role in determining your loan amount, so it is an important step in the process.

Underwriting and Approval

Our team works closely with the underwriting process to ensure your file moves forward efficiently. We stay in close communication with you throughout and address any questions or documentation requests promptly.

Closing and Funding

At closing, you will sign your loan documents with a notary or title company. After a brief federally mandated waiting period — designed to give you time to reconsider if needed — your funds are released and made available in the disbursement format you selected.

Key Benefits of a Reverse Mortgage

There are many reasons why reverse mortgages have become a meaningful retirement planning tool for seniors across Minnesota and the country. Here are the most important benefits worth understanding.

No Required Monthly Mortgage Payments This is the feature that surprises and delights most homeowners. You are not required to make monthly payments on the loan. Your cash flow improves immediately and significantly.

You Stay in Your Home and Keep Ownership The lender does not take your home. You remain the owner and continue living there. The loan simply places a lien on the property, similar to a traditional mortgage.

Flexible Disbursement Options You choose how to receive your funds — lump sum, monthly income, a line of credit, or a combination. This flexibility allows you to tailor the loan to your actual needs.

Non-Recourse Loan Protection HECM loans are non-recourse, meaning you and your heirs will never owe more than the home is worth at the time of repayment. If the loan balance exceeds the home’s value when it comes due, FHA insurance covers the difference. Your family is never personally liable for the shortfall.

Proceeds Are Generally Not Considered Taxable Income Reverse mortgage funds are loan advances, not income. As a result, they are generally not subject to federal or Minnesota state income tax. Always confirm the tax implications with your own advisor.

A Line of Credit That Can Grow If you set up your HECM as a line of credit, the unused portion of that credit line grows over time. This means that waiting to draw on it — or using it strategically — can actually increase the funds available to you in later years.

What You Should Carefully Consider

We believe in full transparency. A reverse mortgage is not the right solution for every homeowner, and part of our job is to help you see the complete picture.

Loan Costs and Fees Reverse mortgages come with upfront costs including origination fees, closing costs, and FHA mortgage insurance premiums. These costs are typically financed into the loan rather than paid out of pocket, but they do reduce the net equity you receive and the amount available to your estate.

Reduced Inheritance If passing your home on to your children or heirs is a significant priority, a reverse mortgage will reduce the equity available in the estate over time. This does not mean a reverse mortgage is the wrong choice — but it is an honest conversation worth having with your family.

Ongoing Obligations You must continue paying property taxes, homeowners insurance, and any homeowner association dues. You must also maintain the home in reasonable condition. Falling behind on these obligations can trigger default and loan repayment, so it is important to have a realistic plan for managing them.

Long-Term Planning Considerations If there is any chance you may need to move into assisted living or a care facility in the near future, the reverse mortgage would become due at that point. It is worth thinking carefully about your long-term plans before committing to the loan.