Reverse mortgages (sometimes called "home equity conversion loans") give older homeowners the ability to tap into home equity without the necessity of selling their home. Choosing between a monthly payment, a line of credit, or a one-time payment, you can receive a loan amount determined by your equity. The loan does not have to be repaid until the homeowner sells his residence, moves away, or passes away. At the time your house has been sold or is no longer used as your main residence, you (or your estate) must pay back the lending institution for the funds you got from your reverse mortgage in addition to interest and other fees.
Usually, reverse mortgages require you be at least sixty-two years old, have a low or zero balance in a mortgage and maintain the house as your main residence.
Many homeowners who live on a limited income and need additional money find reverse mortgages advantageous for their situation. Rates of interest may be fixed or adjustable while the money is nontaxable and doesn't interfere with Medicare or Social Security benefits. Your lending institution is not able to take the property away if you outlive your loan nor will you be made to sell your home to pay off your loan amount even if the balance is determined to exceed property value. Contact us at 4056158543 if you want to explore the benefits of reverse mortgages.