A reverse mortgage is a financial product that allows homeowners, typically aged 62 or older, to convert part of their home equity into cash. Unlike a traditional mortgage, where the homeowner makes monthly payments to the lender, in a reverse mortgage, the lender pays the homeowner. This can provide additional income for retirees, helping them cover living expenses or healthcare costs. The loan is repaid when the homeowner sells the house, moves out, or passes away. At that point, the home is usually sold to pay off the loan balance, and any remaining equity goes to the homeowner's heirs.