In a reverse mortgage (sometimes called a home equity conversion loan), borrowers of a certain age may use home equity for living expenses without having to sell their homes. The lender pays you funds based on your home equity amount; you get a one-time amount, a payment each month or a line of credit. Paying back your loan is not required until the time the borrower puts his home up for sale, moves (such as to a retirement community) or passes away. You or representative of your estate must repay the reverse mortgage amount, interest accrued, and other finance charges when your home is sold, or you can no longer call it your primary residence.
The conditions of a reverse mortgage often are being sixty-two or older, using the home as your main residence, and having a low remaining mortgage balance or owning your home outright.
Reverse mortgages are great for homeowners who are retired or no longer working and need to supplement their fixed income. Social Security and Medicare benefits are not affected; and the money is nontaxable. Reverse Mortgages may have adjustable or fixed rates. Your lender can't take the property away if you outlive your loan nor can you be required to sell your home to repay your loan amount even if the loan balance grows to exceed current property value. Contact us at 4056158543 if you would like to explore the advantages of reverse mortgages.