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HOA and Reverse Mortgage

I live in Portland, OR in a condo which is valued at about $180K-$200K. I have been told that our HOA is not going to allow me to get a reverse mortgage. Is that possible? Can they do that? If so, how will they go about stopping me of getting a reverse loan? Please help me. by beverly838 from Portland, Oregon. Sep 3rd 2014 Reply


Michael Eiden (MichaelEiden)
#29 ranked lender in Oregon - 23 contributions

Hi Beverly... this doesn't seem likely. Drop me a line or email, would be happy to help.

Sep 3rd 2014
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Chad Scott (ChadScott)
#12 ranked lender in Washington - 10 contributions

hi Beverly, They might be able to, indirectly. Since reverse mortgages are insured by FHA, the condo development needs to be FHA approved. It is the responsibility of the HOA board to do that. If the residents and board are unwilling to obtain FHA approval (assuming it isn't FHA approved already) then you would not be able to obtain a reverse mortgage. You can check HUD's system to see if your condo is approved here:https://entp.hud.gov/idapp/html/condlook.cfmLately, HUD has made changes to their requirements and I have seen a few instances where the board voted against complying with the requirements, thereby preventing clients from obtaining a reverse mortgage.Please let me know if I can help any further. would be happy to help you research your condo and options.Chad

Sep 3rd 2014
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Chris Barry (TheLoanDoctor)
#45 ranked lender in Oregon - 40 contributions

I'd like to review the condo By-Laws and speak to the President of the HOA. Most likely, the condo project is not HUD approved. That's a simple enough thing to accomplish if the HOA wishes to become approved. If the HOA has some verbiage forbidding a particular loan product from being available to its owners, that could be deemed discriminatory. I'm curious what the rationale for that would be. So let me investigate further. Give me a call and I can get to the bottom of this.

Sep 3rd 2014
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William J Acres (William_Acres)
#2 ranked lender in Arizona - 7,933 contributions

They cannot stop you from directly or indirectly getting a loan, however if the project is not FHA approved now, then it's unlikely they will be willing to do so. You can look up the project on HUD's website to see if it is approved by going here.. https://entp.hud.gov/idapp/html/condlook.cfm Good luck.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. William J. Acres, Lender411's number ONE lender in Arizona. 480-287-5714 WilliamAcres.com

Sep 3rd 2014
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