Author: Editorial Team

Reverse mortgage purchase guidelines were recently eased, making it much easier to use this loan type to buy a newly constructed home. A Home Equity Conversion Mortgage, more commonly known as a reverse mortgage for purchase or an HECM for Purchase (or even H4P) is a specific type of reverse mortgage loan that lets you…

Reverse Mortgage Definition:  A reverse mortgage is a type of home equity loan for homeowners over 62 years old. With no monthly loan payments, you accrue interest instead of paying it down. When you get a reverse mortgage, you are borrowing your own home equity. (Home equity is the difference between what your home is…

There are many strong reasons to get a reverse mortgage. There are also some downsides. While these loans are very popular, getting one is a huge financial decision. Before talking with a lender, explore the pros and cons in great detail. Here are 3 quick key considerations: Con: It’s a loan. You pay fees and…

Interest rates have fallen and that means that most reverse mortgage borrowers now qualify for more money. (And, you pay less in interest.) Get a new estimate of your reverse mortgage loan amount right now! All the great benefits of the loans still apply: You still own your home: A reverse mortgage is just a…

It used to be that reverse mortgage borrowers were seniors who were at the end of their financial rope. However, according to experts, the types of people who are applying for reverse mortgages is evolving. While people still get the loans to make ends meet, these days reverse mortgage borrowers are more likely to be…

Reverse mortgages are widely advertised on TV, radio and online. But, are they a good idea for you?  Who can you believe?  And, how do you get good information? A new study from Ohio State University sheds light on these topics.  Researchers recently surveyed 30,000 seniors who received reverse mortgage counseling between 2006 and 2011.…

The Department of Housing and Urban Development (HUD), the agency that administers the HECM reverse mortgage program  announced changes that will: Reduce the amount homeowners can borrow Increase mortgage insurance premium fees for some borrowers Make it harder to qualify for the loan. (Because the loan amounts are smaller, some people with an outstanding balance…

After Oct. 2, 2017, HECM reverse mortgage maximum loan amounts will decrease In an effort to further strengthen the long-term viability of the Home Equity Conversion Mortgage (also known as the HECM Reverse Mortgage), the Department of Housing and Urban Development (HUD) announced plans this week that will ultimately make these loans more expensive for…

Many people say that reverse mortgages are just too good to be true. However, over 1 million retirees have secured these loans and a recent study from Ohio State University finds that the vast majority of people who get a reverse mortgage are “satisfied” or “very satisfied” with their decision. When you get a reverse…

Reverse mortgage television commercials abound, but it is hard to get straightforward — easy to understand — answers in response to your reverse mortgage questions. Here are some of the most common reverse mortgage questions people have and some very surprising answers: Is it a Loan? This is one of the most common reverse mortgage…

Reverse mortgages are loans but they work very differently from most other ways of borrowing money.  If you are considering a reverse mortgage, you know that these loans can be really confusing. It is difficult to know if it is a good choice for you or not. People who are thinking about getting a reverse…

Most of us are concerned about our retirement financial security.  We have not saved enough.  Healthcare is expensive.  Social Security doesn’t nearly cover our costs.  We are living long lives. However, many of us do have one very big source of wealth.  According to the US Census Bureau, 79% of older Americans own their homes. …

A reverse mortgage is a loan that lets the borrower access their home equity.  However, many people are very disappointed by their potential reverse mortgage amount. How much money can you really get?  Is the amount you can access worth it? Potential Reverse Mortgage Borrowers Are Often Disappointed If you were disappointed by your reverse…

You probably intended to save more for retirement than you actually did.  Maybe you  have a 401k or an IRA.  Maybe you don’t.  The reality is that whatever savings you have scrimped together, it is probably not enough to pay for your golden years. Feeling the pinch?  You are not alone.  According to IRI data,…