In a reverse mortgage loan (also referred to as a a home equity conversion loan), borrowers of a certain age may use home equity for living expenses without having to sell their homes. Deciding how you would prefer to be paid: by a monthly payment amount, a line of credit, or a one-time payment, you may receive a loan based on your home equity. Repayment isn't necessary until when the homeowner sells the property, moves (such as into a care facility) or dies. You or representative of your estate has to pay back the reverse mortgage loan, interest accrued, and finance charges after your property is sold, or you can no longer use it as your primary residence.
Usually, reverse mortgages are offered to borrowers at least 62 years of age, have a low or zero balance in a mortgage and maintain the home as your principal residence.
Reverse mortgages are appropriate for retired homeowners or those who are no longer working and have a need to add to their income. Social Security and Medicare benefits are not affected; and the money is nontaxable. Reverse Mortgages can have adjustable or fixed interest rates. Your lender can't take the property away if you live past the loan term nor can you be obligated to sell your residence to repay the loan amount even when the balance is determined to exceed current property value. Call us at 5122916100 to look into your reverse mortgage options.
Do you have a question regarding a mortgage program?