There are more advantages to being an elderly person than just receiving your senior discount at the local fast food joint. One such advantage is being eligible for a reversemortgage after the age of 62. Once you are a senior and you retire, you might find that funds are a bit tighter than you imagined. It can be hard to live off of a set income each month. By utilizing the benefit of a reversemortgage, you can retain full use of your property, receive a sizable monthly stipend, and not need to repay the loan until you die or sell the home. There are options for reversemortgages in NW Florida. Here is some useful information when considering a reversemortgage.
A reversemortgage offers the peace of mind that you cannot be forced from your home. As long as you pay insurance premiums and property taxes and the home is maintained in a reasonable living condition, you cannot be forced from your home. There are also no restrictions on how the money must be used from reversemortgage funds. If you need to enlarge doorways for a wheelchair or modify your shower for easier use as a senior, then no problem! You have funds available to use however you choose. The same goes for daily expenses. Many seniors need medications and then find that funds are tight for the day to day expenses of gas or food. With the fund from a reversemortgage, you have options that will make your life easier.
Your home does not have to be paid off or debt-free to qualify for a reversemortgage. A reversemortgage converts home equity into cash. As long as there is sufficient equity in the property, you may be eligible for a reversemortgage, regardless of other debts. Many seniors even opt to pay off a first or second mortgage with the funds obtained from a reversemortgage.
Money received from a reversemortgage is tax-free. These types of loans will never put you in a situation where more than the value of the home is owed, regardless of whether the lender has paid more than the home's value. This is especially beneficial during times of economic decline, when the reversemortgage is secure and home values have since declined.
Generally, a home equity line of credit, second mortgage, or home equity loan have strict requirements for creditworthiness and income. These traditional loans also require you to make monthly payments. With a reversemortgage, there is usually not a credit score requirement. Also, instead of having to make monthly payments, you receive monthly payments. There are several additional payout options with a reversemortgage. You can choose to receive a lump sum of cash at closing, equal monthly payments for a fixed number of years, or a line of credit. A line of credit allows you to draw any amount, at any time, until the line of credit is exhausted.
When you apply for a reversemortgage, several things are taken into consideration. The amount that can be borrowed is calculated using a formula that takes your age, the current interest rate, and appraised value of the home into consideration.
If you want more information on reverse mortgages in NW Florida [http://www.reversemortgagefl.com/#nvcustom-tab], then contact a mortgage specialist.
A reversemortgage offers the peace of mind that you cannot be forced from your home. As long as you pay insurance premiums and property taxes and the home is maintained in a reasonable living condition, you cannot be forced from your home. There are also no restrictions on how the money must be used from reversemortgage funds. If you need to enlarge doorways for a wheelchair or modify your shower for easier use as a senior, then no problem! You have funds available to use however you choose. The same goes for daily expenses. Many seniors need medications and then find that funds are tight for the day to day expenses of gas or food. With the fund from a reversemortgage, you have options that will make your life easier.
Your home does not have to be paid off or debt-free to qualify for a reversemortgage. A reversemortgage converts home equity into cash. As long as there is sufficient equity in the property, you may be eligible for a reversemortgage, regardless of other debts. Many seniors even opt to pay off a first or second mortgage with the funds obtained from a reversemortgage.
Money received from a reversemortgage is tax-free. These types of loans will never put you in a situation where more than the value of the home is owed, regardless of whether the lender has paid more than the home's value. This is especially beneficial during times of economic decline, when the reversemortgage is secure and home values have since declined.
Generally, a home equity line of credit, second mortgage, or home equity loan have strict requirements for creditworthiness and income. These traditional loans also require you to make monthly payments. With a reversemortgage, there is usually not a credit score requirement. Also, instead of having to make monthly payments, you receive monthly payments. There are several additional payout options with a reversemortgage. You can choose to receive a lump sum of cash at closing, equal monthly payments for a fixed number of years, or a line of credit. A line of credit allows you to draw any amount, at any time, until the line of credit is exhausted.
When you apply for a reversemortgage, several things are taken into consideration. The amount that can be borrowed is calculated using a formula that takes your age, the current interest rate, and appraised value of the home into consideration.
If you want more information on reverse mortgages in NW Florida [http://www.reversemortgagefl.com/#nvcustom-tab], then contact a mortgage specialist.
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