Reverse Mortgages, also known as a Home Equity Conversion Mortgage (HECM), gives seniors the ability to use their home’s equity as cash which can provide an improved financial situation by eliminating monthly mortgage payments. This Federally insured loan offers multiple ways to receive the borrower’s funds and gives them the ability to spend the cash as needed. Common uses of Reverse Mortgage income includes paying off debt, assisting with everyday living, covering costly medical bills, home repairs, vacations and more.
Money for a reverse mortgage is typically tax-free
There are many ways to receive the borrower’s funds.
Line of credit.
Live in your home mortgage payment free.
Youngest borrower must be 62 years of age.
Occupy the property as your primary residence.
Not be delinquent on any Federal debt.
Have sufficient equity in your home.