Why Choose a New Reverse Mortgage
One of the most common reasons for choosing a Reverse Mortgage Loan is to improve your retirement. Many seniors spend their golden years struggling to survive. But, thanks to Reverse Mortgages, you can enjoy financial freedom throughout your retirement years. And, you never have to make a single mortgage payment for the rest of your life… Read More
Pros & Cons of A New Reverse Mortgage
Reverse Mortgages provide many benefits to you as a homeowner. Take a look at the pros and cons of a reverse mortgage and see if this is the best option for you.
Pros
- Financial Freedom – You get to convert your home’s equity into cash you can use any way you like.
- No Mortgage Payments – You never have to make a single mortgage payment during the course of your life.
- Keep Ownership of Your Home – You continue to own your home, not the bank or lender.
- Loan Flexibility – You have the freedom to do what you want with your home.
- Grace Period for Heirs – Your heirs gain immediate access to the home’s equity when you’re gone.
Cons
- Diminishing Equity – One of the cons of a Reverse Mortgage Loan is that you are essentially spending up the equity in your home.
- Time – Unlike traditional mortgages, Reverse Mortgage Loans take time to process.
- Interest – Although you don’t have to make any payments on the loan during your lifetime, interest continues to accrue.
- Insurance – You must purchase the required FHA mortgage insurance premium upfront.
- Costs – The closing costs associated with a new Reverse Mortgage are generally higher than most traditional mortgage loans.
Frequently Asked Questions
There are a lot of questions concerning reverse mortgages. We can help you navigate through the confusion and find out if it will work for you.
Q: Are reverse mortgages any different today?
A: Due to highly regulated state and federal laws, reverse mortgages are considered safer than ever before. You still retain the title of the home, the lender does not gradually take over your home through equity share, and any fees and costs are federally regulated.
Q: How does a reverse mortgage compare to a conventional mortgage?
A: A conventional mortgage requires you to make monthly payments to the bank, paying off your loan over time. A reverse mortgage allows you to receive cash from your lender in a manner you choose, and as long as you live in your home, you won’t have to make a single payment on your loan.
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About Shaun Paul Russon
Shaun Russon is an expert in the Reverse Mortgage Loan industry. He got into this business because he truly believes that Reverse Mortgages provide seniors with unique opportunities. It allows them to get their hands on hard cash, in a lump sum, without having to make a single payment during their lifetime….Read More
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