When a Reverse Mortgage is Right

I am a believer in reverse mortgages, and so are most people who give me five minutes to explain why. I remember doing service projects for a widow who could not afford ANYTHING in her life. She was trying to maintain a large home on a large lot with only her social security income. She was relying on everyone around her to help make ends meet, and fighting everyone who told her she needed to sell her family home. Because of blind advice from well-meaning friends, she would not even consider a reverse mortgage. I would have found great joy in showing her how to access some of that equity and enjoy her retirement years without creating a monthly payment, and without destroying her children's’ inheritance. If you are retired and struggle financially, please don’t let old prejudices prevent you from learning about this amazing tool that can be used both for refinances and purchases.

A reverse mortgage is like any other mortgage, it has to be paid back with interest. The main difference is that instead of making monthly interest payments, the interest accrues until either you or your heirs sell the home. This means you can eliminate your mortgage payment (except taxes and insurance), and may even gain some monthly income from the mortgage. Thanks to new regulations, you will receive the assurance from the bank that you can stay in the home for the rest of your life. You still retain all rights as the owner of the home. You can remodel, sell or refinance in the future, and when you pass away, your heirs can still inherit the home and the remaining equity.

I have seen this product significantly improve the retirement years of many clients. It is one of the most rewarding loans to be a part of! If you have an interest in reverse, please allow me to answer all of your questions so you can decide if it’s right for you!