Reverse Mortgages Home What are Reverse Mortgages? Who is eligible for them? Types of Reverse Mortgages Why choose Reverse Mortgages Paying back Reverse Mortgages Questions to ask lenders Their disadvantages Reverse Mortgage requirements Origination and MIP Fees Dealing with closing costs The process of getting one What is the HECM? Appraisal Fees Servicing Set-Aside Servicing Set-Aside Fees   We’re finally to the end of the road when it comes to the fees involved in getting a reverse mortgage loan. The costs may have seemed large and extreme at times, but we hope that this section has helped you to get a better idea of how much applying for and receiving a reverse mortgage loan will cost you.   What is a Servicing Set-Aside Fee? The servicing set-aside fee is money that will be deducted from the available loan limit at closing to cover all projected costs of servicing your account in the coming years. According to federal regulations, the loan servicer, which may or may not be the same company as the original lender, is allowed to charge a monthly fee of $30-$35 throughout the term of the loan.   How Much Money is "Set-Aside"? Generally, the amount of money set-aside depends on the borrower’s age and life expectancy, with fees usually reaching several thousand dollars. The servicing set-aside is a simple calculation, but you will be charged on a monthly basis with the monthly servicing fee. In this way, the lender can be certain that the ongoing costs of servicing your loan will be covered.   Charges will end at the end of your loan term when you choose to give up your home as your primary residence either because you have moved out, sold the home, or you have passed away. No service fees will be charged to you or your family after the loan has been paid back in its entirety.