What is a Reverse Mortgage?
A reverse mortgage, also known as a Home Equity Conversion Mortgage (HECM), enables older homeowners (62+) to convert part of the equity in their homes into tax-free income without having to sell the home, give up title, or take on a new monthly mortgage payment. The reverse mortgage is aptly named because the payment stream is "reversed." Instead of making monthly payments to a lender, as with a regular mortgage, a lender makes payments to you.
Key Facts Regarding A Home Equity Conversion Mortgage:
• Must be 62 years of age or older
• Payoff existing mortgage
• No monthly payments
• No income or credit requirements
• Non taxable income
• Government (FHA) regulated, approved and insured
• House and title remain in borrowers name
• Bequest equity to heirs*
*Depending on Loan Balance
Home Equity Conversion Mortgage Possible Uses:
• Home Repairs or Renovations
• Long-term Health care
• Pay off existing mortgage/debt
• Healthcare
• Pay taxes
• Grandchildren's Education
• Children's/Grandchildren's Downpayment
• Travel
• Buy a boat or summer home
• ANYTHING YOU WANT!
Call Today for your FREE personalized consultation to see how a HECM can benefit you!
