Reverse mortgages (sometimes referred to as "home equity conversion loans") enable older homeowners to tap into built-up home equity without the necessity of selling their home. Choosing between a monthly payment amount, a line of credit, or a lump sum, you may receive a loan based on your home equity. The loan does not have to be paid back until the homeowner sells the residence, moves out, or dies. After your home sells or is no longer used as your primary residence, you (or your estate) have to repay the lender for the cash you obtained from the reverse mortgage in addition to interest among other finance charges.
The conditions of a reverse mortgage loan usually are being 62 or older, using the home as your main living place, and having a small remaining mortgage balance or having paid it off.
Reverse mortgages can be ideal for homeowners who are retired or no longer bringing home a paycheck and have a need to add to their income. Interest rates may be fixed or adjustable while the money is nontaxable and doesn't interfere with Medicare or Social Security benefits. The home can never be at risk of being taken away by the lending institution or put up for sale against your will if you live longer than your loan term - even if the current property value creeps below the balance of the loan. Call us at 9254610500 to look into your reverse mortgage options.
Do you have a question regarding a mortgage program?