Fairway Signature Reserve LOC
Flexible Access to Home Equity, When You Need It
Fairway Signature Reverse LOC is a proprietary reverse mortgage designed for homeowners age 55+ with higher-value homes who want flexible access to their home equity through a line of credit—while also receiving an initial lump-sum distribution at closing.
Whether you’re looking to improve monthly cash flow, eliminate required principal and interest mortgage payments, refinance an existing reverse mortgage, or purchase a new home, Signature Reverse LOC provides a flexible financing solution designed to adapt to your retirement needs today and in the years ahead.
Unlike an FHA-insured Home Equity Conversion Mortgage (HECM), Signature Reverse LOC offers expanded lending opportunities, higher loan limits, broader property eligibility, and no FHA mortgage insurance premiums.
Why Choose Fairway Signature Reverse LOC?
Key Features
- Signature Reverse’s only line of credit option
- Variable interest rate
- Unused line of credit grows by 1.5% annually during the first seven years
- 10-year draw period
- Initial lump-sum distribution available at closing
- Loan amounts up to $4 million (Massachusetts maximum loan amount: $2,000,000)
- Available to eligible homeowners beginning at age 55 in many states (minimum age varies by state)
- Optional monthly principal and interest mortgage payments*
- No FHA mortgage insurance premiums (MIP)
- Non-recourse protection—the borrower or heirs can never owe more than the home’s value when the loan becomes due and payable
- No prepayment penalty
- Expanded condominium eligibility, including many non-FHA-approved condominiums through a streamlined Fannie Mae Limited Review process
- Minimum property value of $450,000
- May also be used to purchase a home (borrowers make the required down payment to establish sufficient equity), with eligible seller concessions of up to 6%
*Borrowers must continue paying property taxes, homeowners insurance, HOA dues (if applicable), and maintain the home.
Common Uses:
- Eliminating required monthly principal and interest mortgage payments*
- Supplementing retirement income
- Paying off existing debt
- Home improvements and aging-in-place renovations
- Healthcare or long-term care expenses
- Purchasing a retirement home
- Creating an emergency reserve
- Covering unexpected life events
- Supporting a broader retirement income strategy
Important Considerations
- Available only in approved states
- Qualification guidelines apply
- Proprietary reverse mortgage—not FHA-insured
- Variable interest rate
- Interest rates may be higher than comparable FHA-insured HECM products
- The line of credit growth feature differs from—and may be less robust than—the growth available with an FHA-insured HECM line of credit
- The draw period is limited to 10 years
- Requires a minimum initial draw of 25% of the available loan amount at closing
- Borrowers remain responsible for paying property taxes, homeowners insurance, HOA dues (if applicable), and maintaining the home
- Because interest and any financed fees accrue over time, home equity will generally decrease over the life of the loan
Product Eligibility Highlights
- Loan Amount: Up to $4 million
- Minimum Property Value: $450,000
- Minimum FICO Score: 550
- Minimum Borrower Age
- Age 55 in most participating states
- Age 60 in Massachusetts
- Age 62 in New Hampshire and Texas
- Available in approved states including: AZ, CA, CO, CT, DC, FL, GA, HI, ID, IL, MI, MT, NH, NV, NJ, NC, OH, OR, PA, RI, SC, TN, TX, UT, & VA. (Note: Branded as Platinum LOC, the product is also available in MA.)
- Availability, eligibility requirements, and product guidelines are subject to change.
A Good Fit For Those Who:
- Own a higher-value home
- Want flexible access to home equity rather than a single lump-sum distribution
- Prefer having a line of credit available for future needs
- Anticipate healthcare expenses or other unexpected retirement costs
- Prefer not to pay FHA mortgage insurance premiums
- Own a non-FHA-approved condominium
- Want to incorporate home equity into a comprehensive retirement strategy
- Value optional monthly mortgage payments rather than required principal and interest payments
Is Fairway Signature Reverse LOC Right for You?
If you like the idea of having home equity available when you need it—rather than taking all of your loan proceeds upfront—Fairway Signature Reverse LOC may be the right solution.
The right reverse mortgage depends on your age, home value, existing mortgage balance, retirement goals, anticipated cash-flow needs, and long-term financial plans.
A Fairway Reverse Mortgage Specialist can help you compare FHA-insured and proprietary reverse mortgage options, explain the differences, and determine whether Fairway Signature Reverse LOC is the best fit for your retirement strategy.
Discover how a flexible line of credit can help your home equity support your retirement—today and for years to come.
Contact a Fairway Reverse Mortgage Specialist today to learn more.
Fairway Signature® reverse mortgage products are proprietary reverse mortgages developed by Longbridge Financial, LLC. These proprietary reverse mortgage products are offered by Fairway and are separate from and are not affiliated with the FHA-insured Home Equity Conversion Mortgage (HECM) program. Qualification requirements apply.
Let’s start a conversation.
If you are interested in a Fairway Signature Reverse LOC loan or want more information, contact us today.
Our experienced team will help you understand Fairway Signature Reverse LOC loans so you can make an informed decision about whether it’s the right financial solution for you.
*Borrower must live in the home, maintain it, and pay critical property charges like taxes and insurance.
**This does not constitute tax or financial advice from Fairway. Please consult a tax professional or financial advisor regarding your specific situation.