A reverse mortgage is a loan available to seniors over the age of 62 which allows them to convert equity in their home into cash. These loans were created to give seniors access to income to utilize anyway they see fit. This FHA insured program is structured solely for the senior to be able to stay in the home for as long as they want. It is a fantastic program for the correct retiree scenario. Please note that all applicants will have to complete a mandatory Reverse Mortgage Counseling Course!
This type of loan is called a reverse mortgage because instead of the borrower making monthly payments to their lender as they would with a traditional mortgage, the lender makes payments to the borrower. There are options on how the monies can be distributed to the homeowner. Unlike a traditional home equity loan or second mortgage, a reverse mortgage does not have to be repaid until the borrower no longer occupies the home as their primary residence.
Another feature with a reverse mortgage is the purchase option. This allows the applicant to sell house they are presently in to purchase another home that will fit there needs. All closing costs can be combined into one transaction during this process. In many instances this will allow the applicant to purchase the home with no mortgage payment and have proceeds from the sale to use any way that will enhance their lifestyle.
In the event only one spouses qualifies when applying, this mortgage can be refinanced at the time the other spouse turns 62. This allows spouse security protection on the title of property for as long as they want.
Although my main office is located in Miami, I can service the entire state of Florida, including Miami, Broward & Palm Beach County. I mainly work from my personal office in Boca Raton. Please contact me at (561)-808-5535 or email@example.com if you have any questions about reverse mortgages or any of the other programs I can offer.