subject: Reverse Mortgage Some Basics [print this page] At CreditNowUSA were proud to offer senior home owners our reverse mortgage loans. This financing option makes it possible for you to convert the equity in your home into cash. Your home ownership is retained and your cash is completely tax free.
Todays society is living longer and seniors are more active than ever. If you are a retired senior and want to be able to keep an active lifestyle, you can use the cash from a reverse mortgage loan to supplement your income after your retirement.
Reverse mortgage loans are usually easier and simpler to get than traditional loans because your home equity provides the guaranteed collateral you need to secure the financing.
With reverse mortgage loans you wont have to make any monthly payments and you wont have to repay the mortgage until you have moved out of your home.
When your reverse mortgage comes due, you will have to pay it in full. The amount due will also include the closing costs and interest.
The amount you owe will increase over time because there are no monthly payments. The equity in your home that remains once you have sold your home and paid off your reverse mortgage, will decrease. A reverse mortgage prevents you from ever owing more than the value of your home when the time comes to repay it.
In order to be eligible for a reverse mortgage loan you will have to be at least 62 years old. You must own the property involved and use it as your primary residence, and the property must meet the required property standards of the FHA. While you are living in your home, it will be your responsibility to maintain it, make any necessary repairs, and pay the required taxes and insurance. You will also have to participate in an information session offered by a third party.
The amount of money you can borrow through a reverse mortgage will be based on the age of the youngest person borrowing the funds, the current rate of interest, and either the appraised value or the limit calculated by the FHA insurance, whichever is less.
For more information, go to Reverse Mortgage at http://www.creditnowusa.com/Reverse-Mortgage
