Finance of America review
A specialty lender now focused on reverse mortgages and home-equity products for older homeowners.
Finance of America by the numbers
| Home loans originated (2025) | 8,696 |
|---|---|
| Total lending (2025) | $3.0B |
| Average loan size | $348,197 |
| Approval rate* | 86.5% |
| Volume rank (our roster) | #54 of 60 |
| Largest market | California |
Source: federal HMDA data (2025), FFIEC/CFPB. *Approval rate = loans originated ÷ (originated + denied). It reflects a lender's channel and borrower mix — wholesale, online and refi-heavy lenders run lower because many applications are rate shops that never close — not how hard it is to work with. See our approval-rate breakdown.
What Finance of America actually lends
69.9% of Finance of America's 2025 loans were FHA loans, versus 13.2% nationally.
| Share of 2025 loans | Finance of America | U.S. |
|---|---|---|
| Conventional | 30.1% | 78% |
| FHA | 69.9% | 13.2% |
| VA | 0% | 8.2% |
| USDA | 0% | 0.6% |
| Home purchase | 3% | 52.5% |
| Rate-and-term refinance | 56.3% | 15.3% |
| Cash-out refinance | 0% | 14% |
Shares of originated loans by loan type and purpose, federal HMDA data (2025). They describe the lender's business mix, not the terms you would be offered.
Finance of America at a glance
Finance of America (NYSE: FOA) is a Plano, Texas nonbank that has made an unusual bet: rather than compete in the crowded market for ordinary home-purchase and refinance loans, it exited forward mortgage lending in 2022 and rebuilt itself around home-equity products for older homeowners.
Today it is the country's largest originator and servicer of reverse mortgages, and its lineup is aimed almost entirely at people who are 62 and up (55+ for some proprietary products) and want to convert home equity into cash without a monthly mortgage payment.
The company consolidated its position through acquisition. In 2023 it bought most of the assets of American Advisors Group (AAG), long the best-known reverse-mortgage brand, and in 2024 folded AAG and Finance of America Reverse into a single 'Finance of America' identity.
It has continued to expand its servicing footprint, agreeing in late 2025 to acquire a large HECM servicing portfolio and origination team from PHH Mortgage.
Where Finance of America's approval rate sits
Finance of America's 2025 approval rate of 86.5% sits against the 76.6% national average. Read it as a signal of channel, not strictness — wholesale, online and refinance-heavy lenders run lower because so many applications are rate shops that never close.
That scale shows up in the data: Finance of America reported 8,696 loans originated in 2025 for about $3.03 billion, an average loan of roughly $348,000, with California alone accounting for more than 3,600 of those loans, followed by Florida, Texas, Arizona and New York.
Its two core offerings are the government-insured Home Equity Conversion Mortgage (HECM) and its proprietary HomeSafe line, a jumbo reverse mortgage that can reach far higher home values than the federal HECM limit allows.
Loans can be taken as a lump sum, a line of credit, monthly advances, or a combination, and the balance generally is not repaid until the last borrower sells, moves out, or dies.
Who Finance of America is best for
Finance of America is built for homeowners in or near retirement — generally 62 and older — who have substantial home equity and want to tap it for income, debt payoff, or aging-in-place expenses without taking on a monthly payment.
Owners of higher-value homes are a particular fit, since the proprietary HomeSafe jumbo products reach well past the federal HECM lending limit. It is not a destination for conventional purchase or refinance borrowers.
Loan programs at Finance of America
Its most notable programs and specialties:
- HECM (Home Equity Conversion Mortgage) — the FHA-insured reverse mortgage, available in adjustable- and fixed-rate versions
- HomeSafe — proprietary jumbo reverse mortgage for higher-value homes, borrowing beyond the federal HECM limit
- HomeSafe Second — a second-lien proprietary reverse product that lets homeowners keep an existing first mortgage
- HECM for Purchase (H4P) — using a reverse mortgage to buy a new primary residence
- Line-of-credit, term/tenure payout, and lump-sum disbursement options on eligible reverse loans
Typical industry minimum down payment by core loan type — Finance of America's own minimums or credit overlays may run higher:
| Loan program | Typical min. down |
|---|---|
| Reverse | n/a |
| Home equity | n/a |
Strengths
- The largest and most established reverse-mortgage specialist in the U.S., with deep experience in a niche few lenders handle well
- Proprietary HomeSafe products reach high-value homes that exceed the FHA HECM lending limit
- Flexible ways to receive funds — line of credit, monthly advances, lump sum, or a mix
- Nationwide availability and a large servicing operation, reinforced by the AAG and PHH portfolio acquisitions
Considerations
- Reverse mortgage fees and interest are added to the loan balance, so the debt grows over time and less home equity is left for heirs.
- Finance of America offers only reverse-mortgage products (HECM and its HomeSafe line) for homeowners 55 or older, depending on state and product, not standard purchase or refinance loans.
- Interest accrues on a rising balance over time, and the loan must be repaid when the last borrower leaves the home
- Federal counseling and ongoing obligations (property taxes, insurance, upkeep) apply, and failing them can trigger default
Where Finance of America lends most
By federal HMDA records, Finance of America's largest 2025 markets were California, Florida, Texas, Arizona and New York. Explore local rates, home prices and down-payment assistance for each:
The verdict
Finance of America is the dominant name in reverse mortgages, and for the right homeowner — 62 or older, equity-rich, wanting cash flow without a monthly payment — its scale, product range, and HomeSafe jumbo options are hard to match.
But a reverse mortgage is a serious, costly decision that shrinks the equity left to heirs. Anyone considering one should complete the required counseling, compare it against selling or a HELOC, and involve family before signing.
How to compare Finance of America
Shopping a few lenders is the single most reliable way to save. Before you commit to Finance of America:
- Get three or more Loan Estimates in a two-week window — the bureaus treat it as one inquiry.
- Compare the APR, not just the headline rate — it folds in the fees.
- Weigh service and loan-type fit, not price alone.
- Verify licensing: search Finance of America on NMLS Consumer Access and match the NMLS ID to the one on your Loan Estimate. (Its LEI in federal HMDA data, 549300S5YL3OH0IVCS62, is not a license number.)
Benchmark whatever you're quoted against today's the national rate benchmark.
Finance of America FAQ
Is Finance of America a good mortgage lender?
Finance of America is a licensed U.S. mortgage lender and one of the largest, roughly #54 of 60 in our roster by 2025 volume, best for reverse mortgages.
Whether it's right for you comes down to the rate and fees it quotes — compare its Loan Estimate with two or three others.
How many mortgages does Finance of America originate?
In 2025, Finance of America originated about 8,696 home loans, roughly $3.0 billion in lending, per federal HMDA data — an average loan of about $348,197.
What loan types does Finance of America offer?
Finance of America offers Reverse, Home equity. Notable programs include HECM (Home Equity Conversion Mortgage) — the FHA-insured reverse mortgage, available in adjustable- and fixed-rate versions; HomeSafe — proprietary jumbo reverse mortgage for higher-value homes, borrowing beyond the federal HECM limit; HomeSafe Second — a second-lien proprietary reverse product that lets homeowners keep an existing first mortgage.
How do I verify Finance of America is licensed?
Search the company's name on NMLS Consumer Access (nmlsconsumeraccess.org), the official registry of licensed mortgage companies and loan officers; the NMLS ID it shows is also printed on every Loan Estimate the lender issues. (The ID 549300S5YL3OH0IVCS62 used on this page is the company's LEI, which identifies it in federal HMDA data — not a license number.)
This review is editorial and independent — Finance of America did not pay for or approve it, and all figures are from public federal data. It is general information, not a recommendation or personalized advice. Confirm all terms directly with the lender.
Compare mortgage lenders