For Seniors Citizens in this tough economy, a Reverse Equity Mortgage may be the panacea to dwindling assets and the increased cost of living. Even as the Nation recovers from the financial crisis, more people find themselves facing tough financial times – foreclosures are still rampant and bills just keep mounting.
Well, one solution that is available to homeowners age 62 and over is a Reverse Equity Mortgage. The idea behind a Reverse Mortgage is to utilize the equity of the home to provide the Senior with a more comfortable financial picture. If your over 62 and the bills seem to be mounting up, it kind of makes sense to simplify by removing the biggest bill – the mortgage.
Even if your not having a tough time with bills, the money you can get through a reverse mortgage can be used for anything; you can take a trip that you’ve always wanted to take, help pay for a child or grandchild’s college tuition, or even buy that Cadillac that you’ve always wanted. Through a Reverse Equity Mortgage the homeowner no longer has to make a monthly payment.
What is a Reverse Equity Mortgage?
A Reverse Equity Mortgage is designed to put money in your pocket now, without leaving behind a mess for your heirs. How much money you can get is solely limited by your equity in the home, and your age – the older that you are, the more money that you can get!
Typically, we will lend up to 80% of the home value, and we make that money available to you through a Government Insured Reverse Equity Mortgage called a HECM – or Home Equity Conversion Mortgage.
Reverse Mortgage Pitfalls
There are quite a few fly by night Reverse Mortgage Lenders out there that lend on their own terms, rather than through the Federal Housing Administration. Typically, these lenders do not take into consideration the homeowner’s individual feelings or needs, and certainly do not look out for the best interests of the homeowner’s heirs.
To protect yourself, and regardless of which lender you decide to have fund your mortgage, make sure that they have helped you through Reverse Mortgage Counseling, have an A Rating with the Better Business Bureau (BBB) like Trinity does, and are offering a loan through the Federal Housing Administration. They key question to ask is, “Is my Reverse Mortgage a FHA Reverse Equity Mortgage?”
The only kind of Reverse Mortgages that Trinity Mutual lends are US Government regulated, FHA Reverse Equity Mortgages, and we are committed to taking into full consideration all of your needs and your family’s needs when helping you through the process to ensure that your Reverse Mortgage has the lowest fees possible and the maximum benefit.
