Reverse mortgages (also referred to as "home equity conversion loans") enable older homeowners to benefit from their built-up equity without having to sell 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 home equity. Repayment isn't required until after the borrower sells the home, moves (such as to a retirement community) or passes away. When your home has been sold or is no longer used as your primary residence, you (or your estate) have to repay the lending institution for the money you got from the reverse mortgage in addition to interest and other fees.
Most reverse mortgages are appropriate for homeowners at least sixty-two years of age, have a small or zero balance in a mortgage and use the house as your main living place.
Many homeowners who are on a fixed income and have a need for additional funds find reverse mortgages ideal for their circumstance. Social Security and Medicare benefits can not be affected; and the money is not taxable. Reverse Mortgages can have adjustable or fixed interest rates. Your home is never in danger of being taken away by the lender or sold without your consent if you live past the loan term - even if the current property value creeps below the loan balance. If you would like to find out more about reverse mortgages, please contact us at (816) 525-8000 & (81.
Enter your email address in the form below for instant access to Jeremy Kramer's free newsletter.