Many
seniors reading this may
very well be
asking the question of whether a reverse mortgage will take care of their
problems - or not.
Are
you presently
looking
for a
way to supplement your income?
Maybe
your annuities (if
you
even have any) combined with your retirement and savings just isn't cutting it
any more.
And
who
can
blame you.
In
this economy
it's becoming
increasingly
hard
for
even younger people to survive.
Seniors'
don't have a great deal of options
available
to them - this
is where
reverse mortgages come into play
.What
Is
A Reverse Mortgage And How Do They WorkDespite
sounding complex, reverse mortgages are actually quite simple.
A
reverse mortgage works pretty much the same way as a traditional
mortgage.
It
is the
complete
polar opposite.
Whilst
usually you
obtain
a
loan
from the bank and
make
monthly
payments,
with a reverse mortgage, the
lender
pays you.
As
you
recieve payments, the house is yours to reside in. Always be looking for the reverse mortgages pros and cons.
You
are always
responsible for property taxes, HOA fees, and
the like,
so bear
that in mind.
Many
seniors have defaulted on their reverse mortgage loans for this very
reason.
After
you have
died,
the bank will then own the
house.
.Do
I Need To
Acquire
A Reverse Mortgage?You're
the only one that knows
if a reverse mortgage will meet
your requirements.
For
this reason
it is very
important
that you research everything
you
can and
discover
all of the reverse mortgage pros and cons.
There
are numerous
pros and cons related
to
this
type of
mortgage.
Among
the
"pros" of a reverse mortgage is that you receive
a
payment depending
on the
equity of your home.
It
is possible to
get lump sum payments or
a
monthly payment - it all is
determined by
how
quickly
you need the money or how you want to disperse it.
Now,
one of the
down
sides
-and there is always a downside - is that the
moment
you
die
or move away, the loan
becomes due.
Once
the happens, the bank will own your home free and clear.
While
the reverse mortgage has many pros and cons, it's important to perform your own
due diligence.
.
