In a reverse mortgage loan (sometimes referred to as a a home equity conversion loan), borrowers of a certain age may use home equity for living expenses without having to sell their homes. Deciding how you would prefer to to receive your money: by a monthly payment amount, a line of credit, or a one-time payment, you can receive a loan amount determined by your home equity. Paying back your loan is not required until when the borrower puts his home up for sale, moves (such as into a care facility) or passes away. After you sell your property or is no longer used as your primary residence, you (or your estate) have to repay the lending institution for the cash you received from the reverse mortgage as well as interest among other finance charges.
Typically, reverse mortgages require you be at least 62 years of age, have a low or zero balance in a mortgage and use the property as your main living place.
Many homeowners who are on a fixed income and have a need for additional funds find reverse mortgages advantageous for their circumstance. Rates of interest can be fixed or adjustable and the funds are nontaxable and don't affect Medicare or Social Security benefits. Your home can never be in danger of being taken away from you by the lending institution or put up for sale against your will if you live longer than your loan term - even if the current property value goes under the balance of the loan. Contact us at 3149139678 to explore your reverse mortgage options.