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 anything they need without selling their homes. Choosing between a monthly payment amount, a line of credit, or a one-time payment, you may get a loan amount determined by your equity. The borrowed money doesn't have to be paid back until the borrower sells his home, moves away, or passes away. After your home has been sold or you no longer use it as your primary residence, you (or your estate) are obligated to repay the lender for the cash you received from your reverse mortgage plus interest among other finance charges.
The conditions of a reverse mortgage normally are being sixty-two or older, maintaining your house as your main living place, and having a low balance on your mortgage or having paid it off.
Reverse mortgages can be advantageous for retired homeowners or those who are no longer working and have a need to supplement their fixed income. Social Security and Medicare benefits can not be affected; and the money is nontaxable. Reverse Mortgages can have adjustable or fixed rates. The house is never at risk of being taken away by the lender or sold against your will if you live past the loan term - even if the property value goes under the loan balance. Contact us at 407-341-4313 if you'd like to explore the advantages of reverse mortgages.
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