A reverse mortgage allows you to borrow money using the equity in your home as security.  The loan can be taken as a lump sum, a regular income stream, a line of credit or a combination of these options.  Interest is charged like any other loan, except you don’t have to make repayments while you live in your home – the interest compounds over time and is added to your loan balance.  You remain the owner of your house and can stay in it for as long as you want.