Reverse mortgages (also referred to as "home equity conversion loans") enable older homeowners to use their built-up home equity without having to sell their home. The lender gives you funds determined by the equity you've built-up in your home; you get a one-time amount, a monthly payment or a line of credit. Paying back your loan is not required until after the homeowner puts his home up for sale, moves (such as into a retirement community) or dies. When you sell your property or you no longer use it as your primary residence, you (or your estate) must pay back the lender for the cash you received from your reverse mortgage in addition to interest and other fees.
Usually, reverse mortgages require you be at least 62 years of age, have a small or zero balance in a mortgage and maintain the home as your principal residence.
Homeowners who live on a limited income and have a need for additional funds find reverse mortgages advantageous for their circumstance. Social Security and Medicare benefits can not be affected; and the funds are nontaxable. Reverse Mortgages may have adjustable or fixed interest rates. Your residence is never at risk of being taken away from you by the lender or put up for sale against your will if you live past your loan term - even if the property value creeps under the loan balance. Call us at 4402349660 if you'd like to explore the benefits of reverse mortgages.
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