What is a reverse mortgage?
Is a Reverse Mortgage right for you?
Is a Reverse Mortgage right for you?
If you have been considering a Reverse Mortgage, there are several advantages to this unique loan program. For homeowners 62 and older, accessing the equity in their home without a monthly payment and increasing their monthly cash flow is by far the biggest benefit of the program.
As home values have appreciated over the years, seniors have struggled to keep up with rising costs of living. A Reverse Mortgage allows many seniors to access additional income from their home’s equity, tax free. Most importantly, there are no mortgage payments to be made for as long as the homeowner lives there.
Do You Qualify?
The youngest primary homeowner must be age 62 or older to apply.
- You must own your home or have a single primary lien you hope to borrow against.
- Any existing mortgage you have must be paid off using the proceeds from your reverse mortgage.
- You must live in the home as your primary residence.
- You must remain current on property taxes, homeowner’s insurance and other mandatory obligations, such as homeowners association dues.
- You must participate in a consumer information session led by a HUD-approved counselor.
- You must maintain your property and keep it in good working condition.
- Your home must be a single-family home, a multi-unit property with up to four units, a manufactured home built after June 1976, a condominium, or a townhouse.
Benefits
- The borrower does not need to make monthly payments toward their loan balance.
- Proceeds can be used for living expenses, debt repayment, healthcare expenses, and more.
- Funds can help borrowers enjoy their retirement.
- Non-borrowing spouses can stay in the home after the borrower dies.
- Borrowers facing foreclosure can use a reverse mortgage to pay off the existing mortgage, potentially stopping the foreclosure.
Ready to Start?
Let’s get you pre-qualified, ready for a loan, and finally cleared to close.