Reverse mortgages can be so beneficial in people's lives, but there is unfortunately a lot of misinformation out there about the product. I have addressed some of the common myths here, but please feel free to contact me with any additional questions.
Reverse Mortgage Myths
- You lose your home
- It’s only for broke people
- It’s free money
- My equity isn’t safe
- It’s not a safe program
Reverse Mortgage Facts
- You retain title to your home*
- Many retirees use a reverse mortgage
- It’s a specialized loan
- Reverse mortgages that are FHA-insured (Home Equity Conversion Mortgages) are insured by the Federal Housing Administration providing protections for both borrowers and lenders
* There are some circumstances that will cause the loan to mature and the balance to become due and payable. A reverse mortgage loan is secured by a mortgage on your home and failure to comply with loan terms could result in foreclosure. Borrower is still responsible for paying property taxes, homeowner’s insurance, and maintenance. Credit is subject to age, property, income guidelines and credit history. Program rates, fees, terms and conditions are not available in all states and are subject to change.
