Reverse Mortgages

A "reverse" mortgage is a loan against your home that you do not have to pay back for as long as you live there. With a reverse mortgage, you can turn the value of your home into cash without having to move or to repay the loan each month. The cash you get from a reverse mortgage can be paid to you in several ways: all at once, in a single lump sum of cash; as a regular monthly cash advance; as a "creditline" account that lets you decide when and how much of your available cash is paid to you; or as a combination of these payment methods. No matter how this loan is paid out to you, you typically don't have to pay anything back until you die, sell your home, or permanently move out of your home. To be eligible for most reverse mortgages, you must own your home and be 62 years of age or older.  Use our Reverse Mortgage Calculator to see how much you could benefit from the program.

False Marketing to Seniors on Reverse Mortgages

Loan Origination Fraud - including false, fraudulent and substantially inaccurate income, assets and employment information; false loan applications, false credit letters and reports; false gift letters; seller-funded down payments; concealed cash transactions; straw buyers; flipping; kickbacks; cash-out schemes; fraud rings; and inadequate or fraudulent underwriting activities.    HUD Report

 

FINANCIAL FREEDOM: How You Can Use the Money You Receive

Here is the most important reverse mortgage information you need to know: the money you get from a reverse mortgage is actually money you already had, money that was in a sense sitting unused in your home in the form of home equity. If you think of it that way, it's easy to understand why you can use the money you get for almost anything. Here are some of the most popular uses for reverse mortgages:

Reverse Mortgage - How much is available to you?

Which lender should you use to get a reverse mortgage? It may depend on the type of loan you want. Public sector reverse mortgages aren't available in most areas. And when they are, usually only one government agency offers any specific type of loan. Normally, you can't have more than one type of public sector reverse mortgage on your home. So you would be selecting a loan type for example, a property tax deferral loan, or a deferred payment home repair loan—rather than a lender.

Reverse Mortgages

While it may seem that Reverse Mortgages are a relatively new "tool" for financial independence, in actuality, these loans have been around for over ten years.  It is only recently, however, that they have come under close scrutiny by the Federal Government.