Reverse Mortgages In Brief

With the slow motion housing crash still in progress and living in one of the nation’s hardest hit areas (northern California), it seems as if I am seeing more signs touting reverse mortgages, much like the “We Buy Houses” signs often stapled onto street poles. As a thirty-something homeowner, I am pretty sure  such a mortgage is not right for me (you have to be 62+ to qualify) but still, it pays to be informed. So I was pleased to encounter the All Reverse Mortgage Company website which provides substantial information on these loan constructs.

According to the site, a reverse mortgage  is simply “nothing more than an equity loan secured by your home which is designed to defer the mortgage interest.” Of course, details matter and the website has an extensive FAQ and educational section to help homeowners determine whether they qualify for one and perhaps more importantly, whether getting such a loan is even right for them in the first place. As the site states, “The reverse mortgage loan is definitely not for all. It may surprise you to hear a reverse mortgage lender saying this but it is true.” Any mortgage lender, reverse or otherwise, that is this upfront right off the bat is definitely off to a good start.

4 Responses to “Reverse Mortgages In Brief”

  1. Jeffrey Says:

    You can also find a lot of good, positive information that is up to date at our web site as well. I am not a banker, but I can put you in touch with one. I am doing the blog on Reverse Mortgages because I did not know about them when my mother really needed one.

  2. juno Says:

    Reverse mortgages are just an extension of the vast citizen fleecing that was the housing bubble. Reverse mortgages make sure that there is no inheritance of the family home by relatives…it’s making sure there is NOTHING to pass on to the next generation. Now that the housing market is destroyed..and that wealth has been transferred to finance “professionals” it only makes sense that the next generation should be fleeced as well. This postmortem theft in the guise of helping the elderly…now that their retirement accounts have been decimated as a result of the housing crash…is being sold as “help” when it just reaches over the current population of elderly to rip off their kids as well. It’s revolting in it’s avarice and offers yet a higher level of disgusting banker behavior that should be outlawed.

  3. Paul Buys Renovator Delights Says:

    Hi There Enlightenedamerican,
    Thanks, on a related note, Since the Reverse Mortgage for Seniors program is all the rage these days, let’s take a look at what is required to qualify for and to obtain a reverse mortgage. In the United States, a person must be at least 62 years of age and own their own home to qualify for a reverse mortgage. While most condominiums do qualify, there are some types of co-op apartment arrangements which do not. Also, lower value properties, such as smaller mobile homes, probably will not qualify either.
    I look forward to your next post
    – Paul at http://webuyproblemhouses.com.au

  4. We Take Your Debt-Ridden Property - Fast! Says:

    G’Day! Enlightenedamerican,
    Speaking of which, Usually referred to as a Home Equity Conversion Mortgage (HECM), a FHA reverse mortgage is a federally insured program administered by the Federal Housing Administration (FDA), which is a department of the Department of Housing and Urban Development (HUD). Simply put, this program is 100% guaranteed by the government. For this reason alone, over 90% of American seniors elect an FHA program over others that are available.
    Great Job!
    – Paul Harvey @ http://paulbuyshouses.com.au

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