Why choose a reverse mortgage?
Homeowners age 62 and older may qualify for a reverse mortgage. A reverse mortgage converts home equity into a flexible source of funds. Following are several benefits of a reverse mortgage:
- An additional source of funds. When unexpected expenses arise, with a reverse mortgage, the homeowner has funds on hand to pay for them.
- Flexible funds. Homeowners can use the reverse mortgage funds in any way they choose. Health-care expenses, travel, home modifications and improvements - these are just a few of the possibilities!
- Flexible options. Reverse mortgage funds can be disbursed in a lump sum, monthly payments, a line of credit or a combination.
- Age in place - at home. The homeowner retains title to the home with a reverse mortgage and has the funds to remain there for the long term.
- The homeowner and estate are protected. As a government-insured non-recourse loan, a reverse mortgage will not require repayment of more than the fair-market value of the home as determined by a licensed FHA-certified appraiser.
Read more about the reverse mortgage interest rates.