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http://www.news-from-newspapers.com has found the following results regarding
finance mortgage option
reverse mortgage
A reverse
mortgage is a loan against the equity in the home that provides tax-free cash advances, but requires no payments during the term of the loan. Since there are no monthly payments during the life of the loan, the balance grows larger and the equity gets smaller.The loan is not due and payable until the borrower no longer occupies the home as a principal residence, e.g. the last surviving borrower sells, moves out permanently or passes away.You must be at least 62 and own your own home or condominium in order to qualify for a reverse
mortgage. There are no income or credit requirements to qualify. Based on the amount of benefit, which you qualify for, you may be eligible for a reverse
mortgage even if you still owe money on your first
mortgage.There are three reverse
mortgage loan products available, the FHA, HECM (Home Equity Conversion
mortgage), Fannie Mae HomeKeeper, and the Financial Freedom Cash Account. Another benefit of these loans is that they are 'non recourse' which means that no matter how high the loan balance grows, the borrower or their heirs never owe more than the home's market value.The proceeds from a reverse
mortgage can be used for anything: daily living expenses; home repairs and home improvements; medical bills and prescription drugs; pay-off of existing debts; education; travel; long-term health care; retirement and estate tax planning; and other needs you may have. The proceeds from a reverse
mortgage are available as a lump sum, fixed monthly payments for as long as you live in the property, a line of credit; or a combination of these
options.The amount of benefit that you will qualify for, will depend on your age at the time you apply for the loan, the type of reverse
mortgage you choose, the value of your home, current interest rates, and for some products, where you live. As a general rule, the older you are and the greater your equity, the larger the reverse
mortgage benefit will be. The costs associated with getting a reverse
mortgage are similar to those with a conventional
mortgage, such as the origination fee, appraisal and inspection fees, title policy,
mortgage insurance and other normal closing costs. With a reverse
mortgage, all of these costs can be
financed as part of the
mortgage.
Source: General