Trusts are normally allowed in a reverse mortgage. The trust typically must be revocable to qualify. In some cases, the lender’s underwriting group may determine a particular trust is not acceptable. An unacceptable trust can usually be rewritten to comply and then be accepted, or the home may be removed from the trust to complete the reverse mortgage.
A reverse mortgage is also allowed on a property in a life estate. In a life estate, typically the person living in the home is not on title as the owner, however, they are allowed to live in the home for life. The “owner” of the home would have to agree to the reverse mortgage in addition to the borrower.