At its core, the reverse mortgage is a home equity loan that’s designed to help seniors tap into the equity in their homes. This loan is only available to homeowners who are 62 or older and have built up substantial home equity. The other unique features of a reverse mortgage are best explained by a comparison to traditional forward mortgages.
Can You Get A Reverse Mortgage On A Townhouse The first steps. If you live in a condo and are considering the prospect of getting a reverse mortgage, there are several first steps you can take to see if your condominium is FHA-approved. HUD keeps a database of all the FHA-approved condominiums that the public can access at any time.
A reverse mortgage is a home loan available to seniors aged 62 and older that does not have to be repaid as long as the borrower continues living in the mortgaged home. The interest typically accrues on the principle, such that the loan balance may be several times the original loan amount.
The loans enable seniors to age in place but have failed many who can't pay insurance or taxes. Lenders foreclose and borrowers lose homes.
. proceeds of the reverse mortgage loan and repaid later with interest. If up-front costs are financed, the net PLF is what remains after subtracting these costs. You should plan to stay in your.
Getting a reverse mortgage loan is different from getting a regular mortgage, the kind you use to buy a home. Not only does the product itself have significant differences, so do the requirements to.