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You’ve worked hard to own your home. If you are 62 years or older or know someone that is 62 years and older that would benefit you or someone you know could be converting some of your home’s equity into tax-free income. Whether you use that money to pay bills, cover taxes, or finally buy that vacation home, youll have a newly found peace of mind.

I know reverse mortgages may SEEM confusing. But really it’s a pretty simple process. Let me show you.

Basically the name explains it. Instead of paying off the mortgage when you first buy a house, the bank pays YOU an equivalent of that same mortgage payment every month. But just like with a regular mortgage you have choices.. (By the way the money you or someone you know will receive is Tax-Free.)

               Choice A – Lump sum – Make funds availabel immediately

               Choice B – line of credit – Makes funds available upon request – If not touched it will GROW

               Choice C – Monthly installments – Fixed installments based on requirements

               Choice D – Line of credit + Monthly installments (My personal favorite) – Receive a monthly payment while having the line of credit growing there for any emergencies.

So who is elgible?

Anyone 62 years or older and occupies the residence atleast 6 months out of the year. The home must be owned free and clear or have a small remaining balance that can be paid with the reverse mortgage.

NO INCOME, EMPLOYMENT, OR CREDIT REQUIRMENTS NEEDED

Why would this benefit anyone?

The reverse mortgage customer retains ownership and lives in their home

Cash advances can be used for any purpose.

Loan proceeds are not considered income and will not affect social security or medicare benefits.

What types of interest rate options are there?

The reverse mortgage is a variable-rate loan linked to the one year U.S. Treasury Security Rate which does not change very often. Any adjustment to the rate has no effect on the number of loan advances a customer can receive, but causes the loan balance to grow at a faster/slower rate.

Typically, there is no out of pocket expenses.

How is the reverse mortgage repaid?

It can be repaid at any time. You can get a reverse mortgage, sell your home a year later, and receive the balance of the equity. There is no requirement that the house be sold, just that the loan is repaid.

Hopefully that answered alot of questions out there.. If theres anything that didn’t fully absorb, Give us a call any time! Check out our Contact page

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