Reverse Mortgages:the Facts
| Searching for a loan? We can assist you! Give us a call at 561.775.2724. Ready to get started? Apply Here.|
With a reverse mortgage loan (sometimes referred to as a a home equity conversion loan), borrowers of a certain age may use home equity for anything they need without having to sell their homes. The lending institution pays you money based on the equity you've built-up in your home; you get a one-time amount, a monthly payment or a line of credit. The borrowed money does not have to be repaid until the homeowner sells the home, moves away, or dies. When your home has been sold or you no longer use it as your main residence, you (or your estate) have to repay the lending institution for the funds you received from your reverse mortgage in addition to interest and other finance charges.
Who is Eligible?
The requirements of a reverse mortgage loan often are being 62 or older, maintaining the property as your main living place, and having a low balance on your mortgage or having paid it off.
Reverse mortgages are helpful for homeowners who are retired or no longer bringing home a paycheck but must supplement their income. Interest rates may be fixed or adjustable and the money is nontaxable and does not affect Medicare or Social Security benefits. The home is never in danger of being taken away from you by the lender or sold against your will if you live past the loan term - even if the property value dips below the balance of the loan. If you would like to learn more about reverse mortgages, feel free to call us at 561.775.2724.
Arch Mortgage Corporation can answer questions about reverse mortgages and many others. Call us at 561.775.2724.
oration can answer questions about reverse mortgages and many others. Call us at 561.775.2724.