A lot of people have questions about reverse mortgages. I have been helping people make sound financial choices using reverse mortgages for many years. Let me help you get the facts and find ways to use a reverse mortgage to improve your life.
Reverse Mortgage Myths
- You immediately sign over ownership to your home
- It’s only for broke people
- It’s free money
- My equity isn’t safe
- It’s not a safe program
Reverse Mortgage Facts
- You retain title to your home as long as you meet the loan guidelines & requirements such as: maintaining the property, paying all property charges such as property taxes, homeowners insurance, flood insurance, and homeowners association dues (if applicable), and avoiding extended absences from the home longer than six months.
- Many retirees use a reverse mortgage
- It’s a specialized loan
- Reverse mortgages that are FHA-insured (Home Equity Conversion Mortgages) are insured by the Federal Housing Administration providing protection for both borrowers and lenders
* There are some circumstances that will cause the loan to mature and the balance to become due and payable. A reverse mortgage loan is secured by a mortgage on your home and failure to comply with loan terms could result in foreclosure. The borrower is still responsible for paying property taxes, homeowner’s insurance, and maintenance. Credit is subject to age, property, income guidelines and credit history. Program rates, fees, terms, and conditions are not available in all states and are subject to change.
Reverse Mortgage Specialist, Mary Jo Lafaye is based in San Rafael, California and serves Marin County and the Bay Area.