Reverse Mortgage

Article submitted by Stacy McFarlin from Universal Lending Corporation.
For more information, she can be reached at 720-218-0957.

A reverse mortgage is a special type of loan for homeowners 62 and older. This federally insured loan allows homeowners to borrow equity from their home, without creating a monthly house payment. Unlike traditional home loans, a reverse mortgage becomes due and payable when the last living homeowner sells, dies or permanently moves away. The freedom of not having a monthly payment makes these loans so appealing.

With a reverse mortgage, you maintain title and control of your home. You can sell and move at any time. You cannot be forced from your home as long as you continue to pay your taxes, homeowners insurance and keep your home in good repair. Proceeds from this loan are not considered income; therefore, you do not pay taxes on the money you receive. In addition, these loans do not affect social security, Medicare, SSI or Medicaid. Reverse mortgages are non-recourse loans. This means you are guaranteed to never leave a debt to you or your heirs - no matter what!

Reverse mortgages are a popular and safe solution to the high cost of living. To be eligible, you and your spouse must be 62+. Your home must be paid in full or have a remaining balance on your current mortgage(s) that can be paid off with the proceeds of the reverse mortgage. Most costs of getting a reverse mortgage are financed into the loan. The out-of-pocket expense is typically around $300.