Reverse Mortgage

As a Senior Homeowner, you may find the extra money obtainable with a Reverse Mortgage to be of great benefit to your wants and needs. So how do you go about it?

You qualify for a Reverse Mortgage if you are at least age 62 and own your home. With a Reverse Mortgage, you retain full ownership and control of your home.

With a Reverse Mortgage, you may continue to receive income for as long as you live at home - no matter how long that may be.

All Reverse Mortgages are non-recourse loans, which mean you can never ever owe more than your home's value - no matter what. Reverse Mortgage lenders can only look to your home's value for repayment - even if you end up receiving more than your home's future worth.

With a Reverse Mortgage, you and the lender are insured against loss, so you can never ever be forced from your home (you own it). The Reverse Mortgage does not have to be repaid until after you permanently vacate your home.

What is a Reverse Mortgage?

Reverse Mortgages were created specifically for older Homeowners who own their home outright, or owe little on it. These Seniors may use the extra cash for living expenses - or to just improve the quality of their lives.

A Reverse Mortgage is a home loan for Seniors that does not have to be repaid for as long as they continue to live in their home. They can receive a loan in a variety of ways. For example: They can receive a Lump Sum of Money, or a Line-of-Credit that lets them decide how much of their equity to use, or a Monthly Advance for whatever term the Senior decides, or any combination of these Cash Advance Choices.

For older Homeowners, a Reverse Mortgage can satisfy a variety of needs: You can use the money to payoff debts, deal with financial emergencies, travel, increase your monthly income, pay for home improvements, help your children or grandchildren, or establish a Cash Reserve for future needs. There are many more possibilities.

How Does A Reverse Mortgage Work?

A Reverse Mortgage is a loan from a lender on the equity in your home. You retain title, ownership and control of your home. The lender receives a recorded lien but never goes on title with you.

With a Reverse Mortgage, the lender sends cash to you. The more cash you receive the greater the loan balance, but you make no monthly repayments as long as you live at home.

A Reverse Mortgage is a 'Non-Recourse' loan. This means the lender can only look to your home's value for repayment.

Said payment is due only after you die, sell, or permanently move. That payment comes out of the equity in your home or any other means you chose.

Any excess equity goes to you if you vacate the home or your heirs. Typically, the property is sold and the loan is repaid. Any remaining equity belongs to you or your heirs.

Contact Allie Mae for further advice.

 

    Fannie Mae
    Freddie Mac
   
Ginnie Mae
   
VA
   
FTC
   
FDIC
   
FRB
   
HUD
   
Complaints

 

Discussion Forum

Recent Posts -

Ads

Home Loans
Homeowners - get fast, easy & free online mortgage answers.
www.jc-capital.net


Compare Mortgages

Search MortgageSector for Low Rate Loans! Get Info & Apply online here.
www.mortgagesector.com


Save Online

Compare offers on interest on adjustable mortgages. Get Started now!
www.rateadvisors.net

 


By visiting Allie Mae you have taken your first step toward becoming an educated borrower. Allie Mae is an objective, independent source of information for the mortgage consumer. Whether you are buying a home, refinancing, taking a home equity loan, building a home or in need of a mortgage for any purpose, Allie Mae is here to help. Allie Mae has helped thousands of people with their mortgage needs. We have a complete selection of articles, charts, calculators, and checklists designed to help you through the mortgage and home buying process.

© 2004 Copyright AllieMae. All Rights Reserved.
Privacy Policy   Legal  Terms & Conditions   Webmaster   Site Map    Application
About   Contact Us   Forum   Dictionary   Calculators   Articles   Free Content