Reverse Mortgage Texas Specific
I admit I didn't understand and assumed that a reverse mortgage would take away a person's home and leave nothing to give to the next generation. After taking a course, I found out how wrong I was. Like everything else, you must find the knowledgeable professional that can explain the product and get you set up correctly. I have always advocated that you do your research.
In a nutshell, a reverse mortgage is a financial tool which allows seniors 62 years or older to borrow money against their home and make no loan payments until they sell their home or permanently leave their residence. This mortgage was designed and is insured by the Federal Government to assist and protect seniors and allows them to maintain their financial independence in a SAfe, Smart and Easy way. I know of at least one senior who remembers regretfully that she no longer lives in her home and if she knew of an option at the time, would have never moved out.
The proceeeds of a Reverse Mortgage can be used to supplement monthly income ,TAx Free; pay off existing mortgages and debts; make home repairs; pay for medical bills or in home assitance, travel; set up trust or college funds for grandchildren, etc.
The benefits of a Reverse Mortgage: The senior can retain 100% home ownership; no monthly payments are required; does not affect Social Security or Medicare; non-taxable; no income or credit qualifying; FHA insured or Fannie Mae Guaranteed; no personal liablity to owner(s) or their heirs.
Sounds too good to be true, doesn't it? Well it is true. I hope I have given you enough to think about that you will seek out more information. At a time when children are having to move parents closer to them, in with them or manage both households, there is help.The next iblog will be on common myths surrounding Reverse Mortgages.