Is a Reverse Mortgage Right for you?
St. Louis, Missouri and Tri-State Area senior residents have questions about reverse mortgages
A lot of people talk about reverse mortgages, but it is sometimes difficult to understand whether a reverse mortgage is right for you. In short, a reverse mortgage is a financial product where the bank loans you money using your home as equity. Depending on the terms of your reverse mortgage, you can receive the loan in one or multiple payments.
Because reverse mortgages are limited to seniors with significant equity in their homes, the loan is considered a lower risk for lenders.
Do I qualify for a reverse mortgage?
The basic qualifications for a reverse mortgage are very specific. You must (1) be at least 62 years old, (2) live in your home as a primary residence, and (3) have paid off some or all of any mortgages on your home. There are other considerations as well, but the key components are your age and your ability to afford the loan based upon your equity in your home.
Should I apply for a reverse mortgage?
Every individual’s personal and financial circumstances are unique. Just because you might qualify for a reverse mortgage, does mean that you should get a reverse mortgage. Reverse mortgages are available for a variety of purposes such as obtaining cash, refinancing, the purchase of another property, or even for particular purposes like home repairs. Some programs vary by state and not all are federally insured.
Therefore, it is important to understand what you hope to accomplish with a reverse mortgage and which program is right for you. Our specialists can help you get in touch with those who understand reverse mortgages so you receive advice tailored to your needs.