- A couple commonly asked questions that I get asked in regards to a reverse mortgage. Make sure you take the time to fully understand a reverse mortgage even if it takes 6 months to a year, spend the time to fully understand the benefits of this great government approved mortgage. I will take you through every step of the way from start to finish in the convenience of your own home. Stop worrying and start enjoying your life by using the equity you have earned and built in your home.
7 Commonly Asked Questions that you should know the answer to.
1. How Much money can I receive?
- The amount of money you receive is dependent upon several factors: your age, the value of your home, current interest rates and the specific plan your choose. Your loan advisor can help you determine which plan best meets your needs. While each individual’s situation is different, as a rule of thumb the older you are and the higher your home’s appraised value, the more money you receive.
2. What are the Costs?
- costs vary from one program to another, That’s why we offer a variety of programs to meet a variety of needs. Most reverse mortgages, however, have costs similar to traditional mortgages such as interest charges, origination fees, closing costs, inspections and insurance.
3. When does the loan become due and payable?
- As long as property taxes and home insurance are paid, and the home is kept in good working order, the loan is due and payable when the borrower sells the property, permanently leaves the home, or passes away.
4. Can we make the process easy?
- We have worked hard over the past several years to simplify the process. We believe the first step is the most imporant. That’s when you and your loan advisor review your goals and objectives and decide which plan best meets your needs. Once you are comfortable that you are making a good decision the process moves forward.
5. Who Should I look to for Advice?
- Decide who you trust, then discuss your intentions with them. It may be your attorney, a financial advisor, AARP, a family member or close friend. We want you to feel confident in your decision. Even if you don’t go through me I would be happy to answer any questions you might have about the program.
6. Are there any restriction on what I can do with the money?
- You can use the proceeds to whatever end you choose. After all, it is your money.
7. Whose name is on the home’s title?
- Yours. The borrower retains title to the property. A reverse Mortgage is a lien just like a traditional mortgage. It’s your money, your title and your home.
Most us us love our home. We have put a lot of ourselves into it. Perhaps raised our families there, worked hard to keep it in good repair, lived, loved, laughed and cried there.
Our home is one of the biggest financial commitments we make. And it represents one of our biggest and often most overlooked sources of extra income.
the ability to remain in our home while taking care of ourselves financially is important. A reverse mortgage could give many of us that opportunity. If you own your home outright or have built up equity, and if you could benefit from extra cash to supplement your existing income, reduce credit card debt, cover medical expenses, help a loved one or just enjoy life a bit more, a reverse mortgage may be right for you.