WHAT IS A REVERSE MORTGAGE?
A Reverse Mortgage is a loan that allows a Senior Homeowner to access their cash equity to be used for anything, such as paying for medical needs, daily living expenses, home repairs, travel or simply enhances the quality of their retirement years.
Who can qualify?
- Age 62 or better
- Sufficient equity in your home
- Completed Reverse Mortgage Counseling
How much can I qualify for?
The amount that you can qualify for is dependent on your age, the value of your home and the current interest rates. A full or partially funded set aside of proceed may be required for payment of property charges for the loan.
When is it paid back?
The loan must be paid back when:
- You sell the home
- You haven’t occupied the home for more than 12 months
- The final surviving borrower passes
How much will I owe?
The total amount that you will owe depends upon to total amount of all cash advances and the interest on those cash advances. However, the amount will never be more than the value of the home at the time the loan is repaid. It does not matter how long you live or if your home depreciates, you will never owe more than the house is worth.
- A Reverse Mortgage will not affect Social Security or Medicare benefits
- Reverse Mortgage proceeds are NOT subject to federal income taxes*
- A Reverse Mortgage may be subject to credit or income qualification
- FHA loan program
*Please consult your tax advisor regarding tax implications
Additional program information: Available for Seniors age 62 and older. Home must be occupied as principal residence, required taxes and insurance paid and make all necessary repairs to avoid deterioration of the property. When the house is sold, the loan, along with any interest and fees, are paid to the lender. Any remaining equity belongs to the heirs. This website has not been reviewed, approved or issued by HUD, FHA or any other governmental agency