Upon death, the loan balance becomes due and payable.

The estate may repay the loan by either selling the home or by refinancing the mortgage. If the loan exceeds the value of the property, the estate will owe no more than the value of the property. No additional financial claims may be made against the heirs or the estate.

In a worse case scenario, nothing more than the value of the real estate is ever at risk to the borrower's heirs because of a reverse mortgage.