What is a Reverse Mortgage Loan?

A reverse mortgage loan is a type of mortgage loan that allows homeowners to borrow against the equity in their home. The loan is repaid when the borrower dies, sells the home, or moves out of the home.

What are the benefits of a reverse mortgage loan?

There are several benefits of a reverse mortgage loan, including:

• The loan does not have to be repaid until the borrower dies, sells the home, or moves out of the home.

• The loan can provide a source of income for the borrower.

• The loan can be used to pay off existing debts.

• The loan can be used to purchase a new home.

What are the drawbacks of a reverse mortgage loan?

There are several drawbacks of a reverse mortgage loan, including:

• The loan may need to be repaid sooner than expected if the value of the home declines.

• The loan may have a higher interest rate than a traditional mortgage loan.

• The loan may be subject to origination fees and other closing costs.

• The loan may be taxable.

• The loan may not be available to all borrowers.

Reverse Mortgage Eligibility, Qualifications and Information

1. One borrower must be 62 years or older

2. Own your home and have equity

3. Home is required to be your primary residence (live in your home 6+ months per year)

4. Property must be a single-family home, 2- to 4-unit dwelling or FHA-approved condo

5. For a home purchase, you must have an adequate down payment for your new home based on your age.

Thus, if you are interested for taking Reverse Mortgage Loan in USA then please contact your local Fairway reverse mortgage planner.


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