Reverse Mortgages If you’re a homeowner 62 years of age and older and need the financial freedom to continue living in your home, a reverse mortgage may help. What Is A Reverse Mortgage And Who is Eligible? A reverse mortgage is a special type of mortgage that enables you to convert part of the equity in your home into funds you can use. Reverse mortgages are reserved for homeowners 62 years of age or older. How Do Reverse Mortgages Work? With a reverse mortgage, the payments are “reversed.” Unlike a conventional mortgage, in which you pay the lender each month, the lender will pay you based on the equity in your home. In most instances, you don’t have to pay this money back as long as you continue to live in the home. Important Reverse Mortgage Considerations The amount of money you owe on a reverse mortgage increases over time as funds are advanced to you and interest accrues. Some reverse mortgages have fixed interest rates, but many have variable rates determined by an index. This means your interest is likely to change depending on market performance. You still retain the title to your home with a reverse mortgage, meaning you are still responsible for any insurance, property tax, utilities or maintenance expenses. If you fail to have homeowner’s insurance, pay your property taxes or maintain your home, your loan may become due and payable. Reverse Mortgages may deplete some of the equity in your home, leaving fewer assets to you as well as your heirs. However, many reverse mortgages have “non-recourse” clauses that prevent you or your heirs from owing more than the home is worth when you sell your home and the loan becomes due. The loan needs to be repaid when the last surviving homeowner no longer uses the home as a primary residence, sells the home or passes away. Reverse Mortgage Benefits A reverse mortgage allows you to receive the income you need to supplement Social Security, meet unexpected medical expenses, make home improvements or help you pay your bills- all without giving up the title to your home. Reverse mortgages are non-taxable and, in most instances, won't impact your Medicare or Social Security benefits. You also don't need to make any new monthly mortgage payments. Reverse mortgage benefits include: No monthly mortgage payments required The money you receive is not taxed You choose how you receive your money Finance with historically low interest rates Keeps you in your home Learn More About Reverse Mortgages Contact us and one of our qualified mortgage professionals will be happy to walk you through the reverse mortgage process and answer any questions you may have. Get started with a pre-qualification today! Borrower eligibility requirements apply. Loan becomes due and payable when the last remaining borrower sells the property, permanently leaves the home or passes away. Taxes, insurance, and repairs are the responsibility of the borrower and must be maintained to avoid early repayment of the entire loan amount. Consult a tax advisor for questions about tax and government benefit implications. Information under Truth in Lending laws such as interest rates, loan terms, financing fees, and closing cost breakdowns is free of charge and does not constitute a reverse mortgage acceptance. Subject to credit approval and program guidelines.