You can use your reverse mortgage proceeds for anything you want. There is no limitation.

Here are just a few ideas:

  1. Payoff existing forward mortgages and reduce your monthly expenses
  2. Remodel your home to accommodate mobility limitations
  3. Let the line of credit grow, tax free, for emergencies and surprises years away
  4. Cover monthly expenses and hold other higher-return assets while their values grow
  5. Cover monthly expenses and avoid selling assets at depressed values
  6. Pay for health insurance in early years until Medicare at age 65
  7. Pay Medicare Part B and D costs
  8. Combine tenure payments with Social Security and income generated by other assets to replace your salary and retire earlier
  9. Pay for children’s or grandchildren’s education or emergencies
  10. Use it for standby cash through ups and downs of the market
  11. Buy a new home using a reverse mortgage
  12. Pay for long-term care
  13. Fill the gap in your retirement plan caused by lower than expected returns on assets
  14. Pay for short term in-home care or physical therapy
  15. Pay for a retirement plan, estate plan or will
  16. Convert a room or basement to a living area for an aging parent, relative or caregiver
  17. Set up transportation arrangements if you can no longer drive
  18. Create a set-aside to pay monthly property taxes and insurance
  19. Maintain your life insurance policy without depleting your monthly budget
  20. Delay collection Social Security to maximize the 70-year-old benefit
  21. Eliminate credit card debt and avoid other debt
  22. Cover expenses and avoid capital gains tax consequences of selling off other assets
  23. Purchase health-related technology that allows you to stay in your home longer
  24. Help your children or loved ones in emergencies