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How It Works · 5 min read

What Happens During HECM Counseling
The Required Step That Protects You

JP Dauber, Reverse Mortgage Specialist

JP Dauber · Licensed HECM Specialist

NMLS# 386298 · Published August 10, 2026

Illustrated diagram showing how reverse mortgages work

Why counseling is required

A reverse mortgage is a major decision, so HUD requires every borrower to speak with an independent, HUD-approved counselor before applying. The counselor does not work for the lender and does not earn a commission. Their only job is to make sure you understand the loan.

This is one of the strongest consumer protections in the program. It is the law, not a sales formality.

What the session covers

The counselor walks through how a HECM works, the costs and fees, your ongoing obligations to pay taxes and insurance, and what happens to the loan when you move or pass away.

They also review alternatives — selling, a home equity loan, or simply waiting — and how a reverse mortgage could affect need-based benefits like Medicaid.

Key fact

The counseling certificate must be dated before your loan application. Counselors are independent of the lender, so the session is a genuine, pressure-free review — a built-in checkpoint to confirm a reverse mortgage is right for you before anything moves forward.

How long it takes and what it costs

Most sessions run 60 to 90 minutes and can be done by phone or in person. The typical fee is about $125 to $200, often paid at the session or rolled into the loan.

If paying the fee is a hardship, many counseling agencies can reduce or waive it. No one is turned away over the fee.

How to prepare and get the most from it

Bring your questions and, if you can, a recent mortgage statement and a rough picture of your income and expenses. The more honest the conversation, the more useful the counselor's input.

Consider inviting an adult child or trusted family member to join the call. A second set of ears often surfaces good questions.

After the session

When the session is complete, you receive a counseling certificate. That certificate is your green light to apply — the lender cannot take your application without it.

Have questions before you book your session? Reach out and I will walk you through what to expect and help you find an approved counselor.

Keep reading

The complete guide

How a Reverse Mortgage Works →

More on this topic

Frequently Asked Questions

Is reverse mortgage counseling really required?

Yes. Federal rules require every HECM borrower to complete a session with an independent HUD-approved counselor before applying. The certificate must be dated before your loan application.

How much does HECM counseling cost?

Typically around $125 to $200, by phone or in person. The fee can often be reduced or waived if it would be a hardship, and it can sometimes be financed into the loan.

Does the counselor work for the lender?

No. HUD-approved counselors are independent and earn no commission. Their role is purely to make sure you understand the loan, the costs, and the alternatives.

Can my family join the counseling session?

Yes, and it's often a good idea. Inviting an adult child or trusted family member can help you ask the right questions and feel confident in the decision.

Curious what you might qualify for?

Try our free HECM calculator — it takes 60 seconds and there's no obligation.

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