I'm not sure if it's a time loop or not. Also, usually at the start of a season, they recap what took place last and explain things. They didn't do that this time, (except for a few written words at the start of season seven to say something like this is how the whole story began...) so I'm having a hard time trying to figure out how this ties in with what happened at the last part of season six. Unfortunately I don't fully remember how that ended. It seemed to me there was a new curse that sent everyone somewhere else, including the fact they don't remember anything...again; except maybe for Henry and his mom.
From what I do understand; this is a total reboot.
At the start of this season; Henry takes off into a portal and into (I think) the future, and now we follow the life of a older Henry (played by someone else) who wants to write a story.
The description reads "In the season premiere episode, Henry leaves Storybrooke in search of his own story. Years later in another realm, Henry (Andrew J. West)
encounters a troubled Cinderella (Dania Ramirez)
, changing the trajectory of his quest forever. When Cinderella's evil step-mother, Lady Tremaine (Gabrielle Anwar)
, poses a threat, Henry discovers that following his heart will require him to make more difficult choices than he ever could have imagined. Years later, a young Lucy (Alison Fernandez) finds a disillusioned Henry at his home in Seattle, determined to make him remember his true self in order to defeat the curse afflicting the fairytale characters of "Hyperion Heights.""