Don’t Wait To Use A Reverse Mortgage!

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Bob is now 62 years old and would like to use a reverse mortgage. Bob owes no money on the home and is not in any hurry to retire. Let’s see how the numbers work out with the reverse mortgage at age 62 and age 70. At this time Bob’s home will appraise for $300,000…. [Read More]

Small business and the HECM credit line

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Many small businesses are run and owned by seniors. Very often these small businesses are seasonal. With many seasonal businesses there are times when outside funds are needed to either cover unforeseen expenses or to buy inventory for the coming season.  Often going to the bank to secure a loan takes not only time, but… [Read More]

Tenure vs. Term

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Of the many ways a borrower may receive their funds, there are advantages and disadvantages to receiving funds by either tenure or term. First, let’s look at receiving your money with tenure.  If the borrower selects to receive the proceeds from the HECM loan with the tenure option, he or she will receive the monthly tenure payment… [Read More]

Some of the Cons of a Reverse Mortgage.

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For many people a reverse mortgage is a very useful tool.  It can pay off current mortgages thus relieving the home owner of the monthly mortgage payment. Of course, the taxes and insurance must still be paid, and the property maintained. The reverse mortgage can also be used to tap the equity that has built up in… [Read More]

What children should know about the reverse mortgage

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It is important in many cases for children of a reverse mortgage borrower to have a clear understanding of how the “HECM” loan may or may not affect them.  First  and foremost, children and heirs will not owe more than the home value when sold.  A misconception that many children have when the find out that their… [Read More]

Repaying The Reverse Mortgage (HECM)

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So, you’re considering a reverse mortgage. It is always wise to fully understand the main elements of the “HECM” loan.  In making your financial decision, you have learned about the requirements to obtain a reverse mortgage.  You may also have looked into some financial alternatives.  Well, you have decided that the reverse mortgage fits your present and… [Read More]

Reverse Mortgage and Equity Reserve

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With the Reverse Mortgage (HECM loan) not all of the homes equity is allowed to be borrowed.  Depending on the age of the youngest borrower the reverse mortgage taps approximately 50% of the equity of the home.  In some cases the remaining equity reserve diminishes over time.  However, there are many cases in which the equity reserve… [Read More]

Does the Bank own my home?

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If I take out a reverse mortgage, does the bank or lender own my home?  This is one of the most common questions borrowers ask when considering a reverse mortgage.   NO!  When you take out a reverse mortgage, the title to your home remains with the you.  Most reverse mortgages are Home Equity Conversion mortgages (HECMs).  FHA,… [Read More]

Reverse Mortgage and your investments

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Even though you have been responsible during your working years, and have been a prudent investor, your current investments may not last as long as you had anticipated.  As an investor, you have experienced many ups and downs in the market.  Not always, but sometimes a reverse mortgage may provide a means of extending the… [Read More]

Reverse Mortgage Purchase

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“Thank You” This is the type of card that I have received several times from customers whom I have assisted in obtaining a reverse mortgage.  The last card was from a couple that was living in a modular home in a 55 and older community.  They were both active in their church and as they got… [Read More]