I was asked recently about reverse mortgages by one of my clients. It is something that many homeowners aren't aware of that retired homeowners can take advantage of. Here's how they work:
A reverse mortgage converts equity into income. It's called a reverse mortgage because instead of making payments to a lender every month, the homeowner receives money in regular payments or a lump sum. A reverse mortgage for people 62 and older, is best for those who have CONSIDERABLE equity in their homes. The reverse mortgage provides additional cash when income might be limited to a pension or social security benefits. Plus, the funds may be spent on ANYTHING from medical expenses to that vacation you've always wanted! Also, if your parents prefer that you/and or any siblings inherit the home, this can be arranged by repaying the reverse mortgage balance when your parents both permanently leave the home.
If you would like more information on reverse mortgages or any other real estate related matter, please feel free to contact me at 800-845-8588 or reynolds@socal.rr.com. You can also visit my website at lindareynolds.com for more information on real estate, searching the MLS or find out more about me!
Have a great weekend!
Linda Reynolds
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