Never a Mortgage Payment Again!!!!
As one of Florida’s leading reverse mortgage lender, we help homeowners discover how a Reverse Mortgage loan may help them access funds to meet their short-term financial goals and plan for a more secure retirement.
A reverse mortgage is a unique, government-insured loan that allows eligible homeowners age 62 years and older to convert a portion of their home’s equity into tax-free funds without having to make monthly mortgage payments.
A reverse mortgage loan can help:
- Creates an alternative source of income for the borrower.
- Eliminates out of pocket monthly mortgage payments.
- Allows seniors to remain in their home as long as they wish to.
- Purchase a new Primary Residence without having to pay a monthly mortgage payment to repay the loan.
- Pay for medical care, prescription drugs and in-home care.
- Cover large or unexpected expenses.
- Make home improvements and repairs.
Pros of Reverse Mortgage Loans
- You can receive the funds in a lump-sum, monthly, a line of credit or a combination of these options.
- The borrower retains ownership of the home
- Title of property remains in the borrowers name
- There is no equity sharing with the lending bank which means the borrower gets full advantage of rising property values.
- Homeowner can stay in the home without making monthly mortgage payments
- Eliminates existing mortgage payments
- Heirs are not personally liable if payoff balance exceeds home value
- Heirs inherit any remaining equity after paying off the reverse mortgage
- Proceeds are tax-free; however, please consult with your financial advisor.
Cons of Reverse Mortgage Loans
- Loan balance increases over time
- Value of estate inheritance may decrease over time as proceeds are spent
- Fees can be higher than a traditional mortgage
- Initial FHA Mortgage Insurance Premium (2% for HECM Standard product)
- Annual FHA mortgage insurance (1.25% of reverse mortgage balance)
- Loan origination fee may be higher than traditional mortgages
- Although Social Security and Medicare eligibility are not affected by a reverse mortgage loan, needs-based government programs such as Medicaid can be affected if the amount of funds withdrawn from a reverse mortgage loan exceed the monthly income limits
- LIBOR Index - Monthly Adjustable
- LIBOR Index Saver - Monthly Adjustable
- CMT – Monthly Adjustable
- CMT Annual – Adjustment once a year
- HECM Fixed Standard – Fixed for Life
- HECM Fixed Saver – Fixed for Life
Call us now to request our free Reverse Mortgage Solutions Kit at: 305-796-4799 To find out if a Reverse Mortgage loan is right for you.
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