Reverse Mortgages Help Seniors Live Without Worry

Many seniors are not aware that a reverse mortgage can enables them to convert part of the equity in their homes into funds they can use now. Instead of paying a lender each month, the lender will pay you, the mortgage is reversed. They will not take your home, you do not have to give up the and you won't have to pay out-of pocket costs as loan fees are financed into the loan. You have the freedom to decide how to use the funds. Some homeowners use the money to supplement retirement income, repair or modify their home, cover health care costs, pay property taxes, reduce or pay off existing debt, take a trip or give money to the grandchildren for college. Reverse mortgages can even be used to get a home out of foreclosure. A line of credit is also an option and money can be withdrawn as needed. You could also choose a lump sum payment. The loan is repaid when you sell, transfer title, or no longer occupy the home as your primary residence. Any remaining equity goes to you or your heirs.
It's also easy to qualify for a Reverse Mortgage. You need to be at least 62 years old, occupy the property as your primary residence, and have sufficient equity. Eligible properties include single family homes, manufactured homes (meeting FHA guidelines) and qualified condominiums and townhouses. One of the features of a Reverse Mortgage is counseling provided by a HUD approved agency.
Brenda Wheeler, Reverse Mortgage Specialist M&I Bank