In a reverse mortgage loan (sometimes referred to as a a home equity conversion loan), homeowners of a certain age may use home equity for anything they need without having to sell their homes. Choosing between a monthly payment amount, a line of credit, or a lump sum, you may receive a loan based on your equity. Repayment is not necessary until the time the borrower puts his home up for sale, moves (such as into a care facility) or dies. At the time you sell your property or you no longer use it as your primary residence, you (or your estate) are required to repay the lending institution for the cash you got from your reverse mortgage in addition to interest among other fees.
The conditions of a reverse mortgage normally are being 62 or older, using the property as your main residence, and holding a low remaining mortgage balance or owning your home outright.
Reverse mortgages are advantageous for retired homeowners or those who are no longer bringing home a paycheck but have a need to add to their income. Social Security and Medicare benefits can not be affected; and the money is nontaxable. Reverse Mortgages can have adjustable or fixed rates. Your home is never in danger of being taken away by the lending institution or put up for sale without your consent if you live past your loan term - even if the property value creeps under the loan balance. Call us at (888) 525-6267 to look into your reverse mortgage options.
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