Reverse mortgages (also referred to as "home equity conversion loans") enable older homeowners to tap into built-up equity without selling their home. Deciding how you would prefer to to receive your money: by a monthly payment amount, a line of credit, or a lump sum, you can take out a loan based on your home equity. The loan doesn't have to be repaid until the homeowner sells his residence, moves out, or passes away. At the time you sell your home or is no longer used as your primary residence, you (or your estate) must repay the lending institution for the funds you received from your reverse mortgage as well as interest and other finance charges.
The conditions of a reverse mortgage normally are being 62 or older, maintaining the property as your main living place, and having a small balance on your mortgage or owning your home outright.
Reverse mortgages are advantageous for retired homeowners or those who are no longer working but have a need to supplement their limited income. Rates of interest can be fixed or adjustable while the funds are nontaxable and don't adversely affect Social Security or Medicare benefits. The lender isn't able to take the property away if you outlive your loan nor will you be required to sell your home to repay the loan amount even if the loan balance grows to exceed property value. Contact us at 9254610500 to look into your reverse mortgage options.
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