What can I use the proceeds of a HECM for?

If you now owe any money on a debt against your home or any other Federal obligations, you would have to payoff those amounts to get a HECM.You could use money from the HECM to do that. Any remaining funds you can use as you wish. There are no restrictions. The proceeds from a HECM can be used for anything, whether it’s to supplement retirement income to cover daily living expenses, repair or modify your home (i.e., widening halls or installing a ramp), pay for health care, pay off existing debts, cover property taxes, or possibly prevent foreclosure.

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