Another story about a great couple using a reverse mortgage to improve their golden years.
Although they were high school sweethearts, this couple has only been married just a few years. The home they live in is 30 years old and in great shape. A single story it is a perfect place to stay for the long haul. And that is just what they want to do.
With a very small mortgage on the property now, and the blessing of all the adult children, they will use the reverse mortgae will payoff the existing loan. That will increase their monthly cash flow by $500. But the best part is the emergency funds that will be available for them in the line of credit. They plan to use the line of credit in the event that either one of them requires in home care for the future, or to replace lost retirement income in the event of one of them preceding the other in "graduation".
For the next few years, while they continue to work, they will be making mortgage payments on the reverse mortgage, (yes you can do that) write off the interest they will pay, AND increase the available line of credit.
They are especially excited because, with the cushion provided by the reverse they can leave their other assets invested where they can grow with the economic recovery. People are so smart!
I was tickled to call them right after our meeting to let them know that the company I work for is at this time waiving the origination fee! Nice.
By Deborah Nance
Your Local Southern California Reverse Mortgage Professional
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iReverse Home Loans, LLC, NMLS#810502 originates reverse mortgages in Alabama, Alaska, Arizona (MB-0919584), California, Colorado, Connecticut, Florida, Illinois, Indiana, Iowa, Kansas, Louisiana, Maryland, Massachusetts, Minnesota, Mississippi, Missouri, Nevada, New Jersey, New Mexico, Ohio, Oregon (ML-5378), Pennsylvania, South Dakota, Tennessee, Texas, Utah, Vermont (1164-MB), Virginia, Washington and Wisconsin.
Important Information: Reverse Mortgages are neither "endorsed" nor "approved" by the Federal Government. The FHA (Federal Housing Administration) provides certain insurance benefits for lenders and borrowers in connection with the lender’s HECM loans; the FHA does not make or originate loans. The owner(s) retain title to the property that is the subject of the reverse mortgage until the person sells or transfers the property and is therefore responsible for paying property taxes, insurance, maintenance and related taxes. Failing to pay these amounts or failure to maintain the condition of your property may cause the reverse mortgage loan to become due immediately. A reverse mortgage is a complex loan secured by your home. Whether such mortgage makes sense for you depends on your financial situation and needs. For these reasons, we strongly recommend that you consult with a qualified independent housing counselor, family members and other trusted advisers before making this decision. This website is not from HUD or FHA and was not approved by HUD or any government agency.