At Pacific Home we understand a senior’s point of view
Significant research shows that for seniors to
live independently in their own home is of paramount importance.
Seniors move less frequently from their current housing than any other
age group.
They typically own their own dwelling (80% of seniors do) and most occupy
comfortable quarters in familiar neighborhoods and communities.
They are generally psychologically attached to their homes, which
symbolize their having “made it”.
We realize that considering a reverse mortgage is a different way of
thinking.
Using a home mortgage as a part of a financial plan is usually not a
consideration for most senior homeowners.
In just the past few years, reverse mortgages have taken several giant
steps forward. There is a new generation of these loans designed to serve a
wider range of senior needs. Because reverse mortgages offer such unique
benefits, it is important for you to get a solid grasp on how they work.
Misunderstanding can often lead to mistakes.
And no one can afford to make a mistake with their home equity.
There is too much at stake. That is why you need to do your homework
before putting your home equity at risk.
A reverse mortgage is a special type of mortgage that allows a senior homeowner
62 or older to convert their home equity into tax-free cash.
No repayment of your reverse mortgage is required until your home is
no longer your principal residence (i.e. at your death or until you sell the
property, convey title, or do not occupy the property for 12
months consecutively. It is important to note one important fact.
A reverse mortgage is a mortgage loan on your property.
You still own your home. You
still hold title to it. As your
home increases in value, your estate continues to grow.
A reverse mortgage works the opposite of a regular mortgage.
A conventional mortgage, for example, generally requires monthly
principal and interest payments and, over time (usually 15 to 30 years) the
mortgage is paid off.
A reverse mortgages on the other hand has no payments of principal or
interest and over time will accumulate the interest due which adds to the
principal owed on the loan.
Even though your loan balance is increasing,
you cannot be forced to sell or vacate your home as long as you continue to
occupy your property as your principal residence, even if the reverse mortgage
loan balance exceeds the value of your hom
We at Pacific Home Reverse Mortgage Center saw a need for understandable
educational material for our senior population.
Before you make a decision you need to know how a reverse mortgage
really works. We have a new publication that will answer your questions on
Reverse Mortgages. For your own copy click on the following connection.
Send me a copy of your Reverse Mortgage Book.
To find out
if you qualify for a reverse mortgage click
“Do I Qualify”.