With 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 selling their homes. Choosing between a monthly payment amount, a line of credit, or a lump sum, you may get a loan amount determined by your home equity. The loan does not have to be repaid until the homeowner sells his residence, moves out, or passes away. After you sell your home or is no longer used as your primary residence, you (or your estate) must pay back the lending institution for the funds you received from your reverse mortgage as well as interest among other fees.
Usually, reverse mortgages require you be at least sixty-two years of age, have a small or zero balance in a mortgage and maintain the home as your principal residence.
Many homeowners who are on a fixed income and find themselves needing additional funds find reverse mortgages helpful for their circumstance. Interest rates can be fixed or adjustable and the money is nontaxable and doesn't affect Medicare or Social Security benefits. Your residence can never be in danger of being taken away from you by the lender or sold against your will if you outlive your loan term - even if the property value creeps below the loan balance. Call us at 7758957482 if you want to explore the advantages of reverse mortgages.
Do you have a question regarding a mortgage program?