Reverse Mortgage (HECM) Guide for Texas Homeowners 62+
Texas has approximately 1.4 million homeowner households led by someone 62 or older — one of the largest totals of any state. With a median home value of $310,000, Texas homeowners have seen significant equity gains in recent years, particularly in Dallas-Fort Worth, Houston, Austin, and San Antonio. A HECM can help Texas seniors access that equity without monthly mortgage payments.
Source: U.S. Census Bureau ACS 2022 1-Year Estimates (Table B25077); U.S. Census Bureau ACS 2022 1-Year Estimates (Table B25007)
Check My Eligibility — Free & No Obligation2026 FHA HECM National Lending Limit
Texas's median home values fall well below the 2026 FHA HECM limit of $1,249,125. Most Texas homeowners can access the full available equity through a HECM. Luxury Austin and Dallas properties occasionally approach the cap but rarely exceed it.
Source: HUD Mortgagee Letter 2025-21
Texas Reverse Mortgage Protections
Texas has unique constitutional protections for reverse mortgages. Under Texas Constitution Article XVI, Section 50(k), a HECM in Texas must be made by an FHA-approved lender and requires specific disclosures, a 12-day waiting period between application and closing, and a 3-day right to cancel after closing. Texas also prohibits "equity lending" that leaves insufficient equity to the homeowner — a protection that applies to reverse mortgage transactions.
Source: Texas Constitution Art. XVI § 50(k); Texas Finance Code § 159
How Much Could You Get? — Texas
Adjust your age and home value to see a quick estimate. Full calculator →
Estimate based on HUD PLF tables at 6.5% assumed expected rate. Actual amounts depend on formal appraisal and lender terms.
See if you qualify →Source: HUD Principal Limit Factor tables · HUD HECM page
Find a HUD-Approved HECM Counselor in Texas
Before you can apply for any HECM, federal law requires a one-on-one counseling session with an independent HUD-approved counselor. This is not optional — no FHA-approved lender may accept your application without a valid counseling certificate. The session covers how HECMs work, costs, alternatives, and your rights as a borrower. It typically takes 60–90 minutes and can be done by phone.
Find a HUD Counselor in Texas →This link opens the HUD HECM Counselor search tool. Filter by state (TX) to find agencies near you.
The 6 Basic HECM Eligibility Requirements
These are the same federal requirements that apply to every HECM in every state, including Texas.
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Age 62 or older The youngest borrower on the title must be at least 62.
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Your primary home You live in this home as your main residence — not a vacation or rental property.
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Significant home equity You own the home free and clear, or have paid down most of the mortgage — generally 50% or more equity.
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Located in an eligible state FHA HECM is available in all 50 states, Washington D.C., and U.S. territories — including Texas.
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No existing reverse mortgage Standard HECMs are for first-time reverse mortgage borrowers. Other options exist if you've had one before.
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Plan to stay in your home A HECM is designed for homeowners who intend to remain in their home long-term.
See if a HECM may fit your situation — Texas homeowners.
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HECM Questions for Texas Homeowners
Are HECMs available in Texas?
Yes, but Texas has unique state-level rules. HECMs in Texas must be made by FHA-approved lenders licensed in Texas, and the state constitution imposes additional requirements including a 12-day waiting period before closing and a 3-day right of rescission after closing.
Does Texas require additional steps for a reverse mortgage?
Yes. Beyond the federal HUD counseling requirement, Texas mandates a 12-day waiting period between when you receive the required disclosures and when the loan can close. You also have 3 business days after closing to cancel the transaction. Both protections are required by the Texas Constitution.
How do Texas property taxes interact with a HECM?
HECM borrowers must keep property taxes current. Texas has no state income tax, but property taxes are among the highest in the country. Importantly, Texas offers a property tax freeze for homeowners 65 and older — the school district tax portion is capped at the amount owed in the year you turned 65. This freeze can significantly limit tax increases for HECM holders.
What if I have a HELOC on my Texas home?
An existing HELOC must be paid off and closed at HECM closing. Texas law also limits total home equity debt (including the HECM) to 80% of the appraised value — an important distinction from most states. Make sure to discuss this constraint with a licensed lender.
Where can I find a HUD-approved HECM counselor in Texas?
Use the HUD HECM Counselor Search (link above) filtered to Texas. Texas has a large network of HUD-approved agencies in Dallas, Houston, San Antonio, and Austin. Spanish-language counseling is widely available.
Back to Main Guide
Return to the HomeBridge home page for our full HECM education hub.
HomeBridge Home →Eligibility Checklist
Review all six HECM eligibility requirements in detail.
View Eligibility Checklist →Other State Guides
Explore HECM guides for neighboring states.
Florida HECM Guide → Arizona HECM Guide →HECM Education Hub
Deepen your understanding before talking to a lender. Our plain-language guides cover how HECMs work, who qualifies, and what protections you have.
Browse all education articles → Browse all HECM FAQs →