Introduction to Reverse Mortgages
Many homeowners have found that a reverse mortgage is a great way for them to take advantage of the equity they have built up in their homes.
A reverse mortgage is different from a traditional mortgage. With a traditional mortgage, you make monthly mortgage payments, but with a reverse mortgage, the borrower may receive loan money as a line of credit, monthly installment, a combination of these, or a lump sum. The money that you receive is dependant on your age, the value of your home, and current interest rate. Borrowers are responsible to continue to pay taxes, insurance, and otherwise adhere to loan terms.
One of the great advantages of a reverse mortgage is that you are not required to pay the loan back until the home is no longer your primary residence. Another great feature of a reverse mortgage is you or your heirs can never be personally responsible to pay back more than the value of your home, only the home can satisfy the debt.
If you’re aged 62 or older and own your home, you might be eligible for a reverse mortgage. Contact us to find out more about reverse mortgages and ways to make it work for you, or apply now and start the process of tapping the equity in your home.