HOME EQUITY CONVERSION MORTGAGE LOANS (REVERSE MORTGAGE)
This mortgage product is design for homeowners who are 62 years or older and have paid off your mortgage or paid down a considerate amount, and are currently living in the home. This allows the homeowner to withdraw money to take care of concerns such as Supplement Income, pay for health care expenses, pay off debt or finance home improvement jobs. There are no restrictions for how the money must be used.
Benefits & Features
Does not require monthly payment from the borrowers.
Funds can improve monthly cash flow.
Settlement can be collected as a lump sum, fixed monthly payment, line of credit or some combination.
Age (or the age of the youngest spouse in the case of couples).
Home must be the primary residence.
Home must be maintained and property taxes and homeowner insurance needs to be up-to- date.
The loan process many times boils down to what you can afford. A good way to check your potential finances is to utilize a monthly payment calculator such as the one found here with Ready Mortgage Lenders.