According to an article in The Wall Street Journal, reverse mortgages are gaining in popularity and variety in product. Where in previous years, reverse mortgages were typically a last resort for elderly homeowners facing foreclosure, now people as young as 60 are eligible to take reverse mortgages on their home for indulgences such as travel. The minimum age has gone down, and so have the number of products available. This is because more private investors are purchasing reverse mortgages that were typically only purchased by Fannie Mae, in hopes of packaging them and selling them down the road. Keep an eye out for the high fees charged, though. Some banks will charge as little as 2% of the home's value, while others can charge as high as 7%. Follow this link to read the full article:
http://articles.moneycentral.msn.com/Banking/HomeFinancing/TheHottestMortgagesTheyPayYou.aspx?page=1
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