AARP model specifications - rules recommended by AARP for analyzing and comparing reverse mortgages (visit www.aarp.org/revmort).

Acceleration clause - the part of a contract that says when a loan may be declared due and payable.

Adjustment date - the date that the interest rate changes on an adjustable-rate mortgage (ARM).

Adjustment period - the period elapsing between adjustment dates for an adjustable-rate mortgage (ARM).

Adjustable rate - an interest rate that changes, based on changes in a published market-rate index.

Amortization - the gradual repayment of a mortgage loan, both principal and interest, by installments; not used with reverse mortgages.

Annual Percentage Rate (APR) - the cost of credit, expressed as a yearly rate including interest and mortgage insurance and loan origination fees. This allows the buyer to compare loans, however APR should not be confused with the actual note rate.

Annuity - a monthly cash payment you get from an insurance company for the rest of your life.

Appraisal - an estimate of how much a house would sell for if it were sold: also called its' market value.

Appreciation - an increase in a home's value.

Area Agency on Aging (AAA) - a local or regional nonprofit organization that provides information on services and programs for older adults.

Assignment - the transfer of a mortgage from one company to another.  

Assumability - reverse mortgages are not assumable.