Trading equity in your home for extra cash with a reverse mortgage can be a good idea if you need more income in retirement and you plan on staying in your home.

But what happens when you decide to move?

Here’s what you need to know:

When Your Balance is Due
The most important thing to remember is that your reverse mortgage loan amount will be immediately due in full when you move, whether you’ve decided to downsize to a smaller or more accessible home or move closer to relatives.

When to Tell Your Lender
If you’re just considering moving, but you don’t have firm plans, you may not want to notify your lender yet since plans can change, advises Steve Irwin, a reverse mortgage operations consultant who is a board member of the National Reverse Mortgage Lender’s Association.

In fact, even when you first put your home up for sale, you don’t necessarily have to worry about paying off your reverse mortgage loan. Once you’re sure you’re going to move and sell your home, you can discuss with your lender what your plans are, Irwin says.

And you can actually wait to tell your lender about your intent to move, for example, when you find a buyer.

How Much You Owe
When you move, much like what happens when you die, your account is considered “matured” and your balance is due.

When you notify your loan servicer of your intent to move, you’ll receive a payoff demand, a document that itemizes how much you owe your lender.