If a home's value grows rapidly, your equity could increase over time. Or, if you only get one loan advance and no interest is charged on it, your debt would never change. But most home values don't grow at consistently high rates, and interest is charged on most mortgages. In short, a reverse equity mortgage is a "rising debt, falling equity" type of deal. But that is exactly what informed reverse mortgage borrowers want: to "spend down" their home equity while they live in their homes, without having to make monthly loan repayments.. reverse equity mortgage don't always have rising debt and falling equity. So your equity would grow as your home's value increases.

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