"HomeSafe Second Line of Credit is structured as a nonrevolving, second-lien reverse mortgage. Eligible borrowers must take an initial draw of at least 25% of the available funds at closing, with the remaining line accessible over a 10-year draw period."
"This product gives borrowers the ability to access their home equity on their terms when they need it without adding a new monthly mortgage payment."
"Second-lien equity withdrawals rose 22% year over year in the first quarter of 2025 to the highest level in 17 years, according to ICE Mortgage Technology data."
"Unlike a traditional HELOC, the FOA product is nonrevolving: Once funds are repaid, they do not become available again for future draws."
HomeSafe Second Line of Credit is a nonrevolving, second-lien reverse mortgage allowing borrowers to access home equity. An initial draw of at least 25% is required, with a 10-year draw period for remaining funds. Borrowers must continue paying their first mortgage and property-related charges. The product addresses a market need in California, with a 22% increase in second-lien equity withdrawals. The maximum loan amount is $1 million, with a minimum credit score of 640. Unused portions grow at 1.5% annually for seven years, distinguishing it from traditional HELOCs.
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