The borrowing age for reverse mortgages is dropping as relatively younger consumers use the loans as risk management tools to extend the life of their financial portfolios, according to a presentation by MetLife at the Great New England Credit Union Show in Boxborough yesterday.

When reverse mortgages, officially known as home equity conversion mortgages (HECM), were created, they were designed for elderly homeowners who were house-rich but cash-poor, to draw on home equity to support living expenses.

But reverse mortgages may become part of a growing trend to include home equity as an integral part of retirement planning and addressing income shortfalls in retirement. That’s according to a study authored by MetLife Mature Market Institute in partnership with the National Council on Aging.

Some younger borrowers whose assets and income may have been negatively impacted by the recession, are turning to reverse mortgages as a financial "bridge" to postpone the need to apply for Social Security. The older the applicant, the higher the benefit, and proceeds from a reverse mortgage do not affect the benefit.

The study, published in March of this year, cited data revealing that the average age of HECM borrowers has declined from 76 to 63 between the 1990s and 2009. The main body of the study used data from 21,240 mandatory financial counseling interviews done by HUD-approved counselors between September and November 2010.