What happens if someone dies with a reverse mortgage?

What happens if someone dies with a reverse mortgage?

When a reverse mortgage borrower dies, a lender will typically explain options for paying off the loan to the borrower’s estate. Heirs then have 30 days to decide what to do. If heirs decide to pay off the HECM, they have 12 months to sell the property or pay off the HECM, possibly with a new mortgage.