Reverse Mortgage Lenders Answer Top Reverse Mortgage Questions
Reverse mortgage lenders address key questions seniors have regarding reverse mortgages
Q: How do I qualify?
A: If you’re 62 or older and own your home, you’re eligible for a reverse mortgage. There are no income qualifications.
Q: How much money can I hope to get from reverse mortgage lenders?
A: That depends on facts such as your age and your home’s appraised value. Generally, the older you are and the more your home is worth, the more money you can hope to receive. Your reverse mortgage lender will be able to give you the exact amount.
Q: Who will own my home?
A: You will, just as you do today! A reverse mortgage is a lien, just like a traditional mortgage. Your reverse mortgage lender will explain that a reverse mortgage loan does not need to be repaid until you sell your home or permanently leave it.
Q: Do reverse mortgage lenders have restrictions on what I can do with the money from a reverse mortgage loan?
A: You’re only limited by your imagination! You can choose to use your money for practical purposes, or to enjoy the freedom of your “golden years.” It’s your money so you decide how to spend it.
Q: Are there any fees involved?
A: Similar to traditional mortgages, there are closing costs with reverse mortgages. But they can be financed as part of your loan. Ask your reverse mortgage lender if you’re interested in this. Also, you must continue to pay real estate taxes and insurance premiums, and keep your property maintained as you do with a traditional mortgage. But unlike a traditional mortgage, there are no monthly payments with a reverse mortgage!
Q: When do I have to repay the reverse mortgage?
A: Unlike traditional equity loans, no repayment is required the home is no longer your principal residence. At that time, a lump sum payment is due, usually from the sale of your home or through other means. And, once your reverse mortgage is paid off, your heirs can keep your home if they so choose. Reverse mortgage lenders can answer any specific questions you have about this.
Q: How do I get started?
A: Contact a reputable reverse mortgage lender to start the dialog. There’s no pressure or obligation, and if there is, walk away. Good reverse mortgage lenders will begin by discussing your needs and desires, and explain the options available to you. You’ll want to take your time with this decision, and discuss it with a trusted financial advisor and family members. Your reverse mortgage lender will help you gather the facts so that you can determine what is right for you.
Reverse Mortgage Consultant - Denver, Colorado
720.641.3482, Email