Are reverse mortgages for desperate people? No. It is an excellent financial planning tool used from people of all walks of life.
How do I qualify? You must be 62 or if both parties are on the mortgage, then you both must be at least 62. And, you must have equity in your home.
What if I still owe on my home? You may still qualify even if you have a balance on your first mortgage. The proceeds must be used to pay off the mortgage, first.
How much can I get? This depends on several factors such as, the age of your home, the value, your age at the time of closing, and interest rates.
Is it just monthly payments? No. You can get a lump sum, line of credit, monthly payments or a combination of monthly income and a line of credit.
But, wont I have to pay taxes on these monthly payments to the government? No. The funds are tax-free. Its your money, not additional income.
Get Free Mortgage Quotes From Top Colorado Mortgage Brokers
Welcome to Coloradomortgagedepo.com - A complete mortgage service site connecting you with best Colorado mortgage brokers and lenders. Let us help you find best Colorado mortgage loan programs with a reputable mortgage lender or mortgage brokers in Colorado.
We offer mortgage loans in tune with your unique set of requirements.
First / Second mortgage
Home improvement loan
Refinance loan
Home equity loan
Debt consolidation loan
Bad credit loan Reverse mortgage Jumbo loan
We DO NOT charge for services offered. Absolutely No Hidden costs of any kind! Also you are under n ..
Should I seek a lawyer or receive some counseling before I get a reverse mortgage. Yes. You must be counseled before receiving a reverse mortgage. You dont have to talk to a lawyer or accountant, but it would be advised.
Who owns the title to my house? You still own the title.
What happens when I die? Once your home is passed on to your heirs, the mortgage becomes due. Your heirs may pay the mortgage and keep the home or sell the home and pay off the home. They may keep any excess sales proceeds.
What if I owe more than the house is worth? You cant. Your repayment amount will never exceed the value of the home at the time the loan comes due. Also, there are no prepayment penalties.
What if I move? If you move, then the mortgage becomes due and must be repaid.
Where can I learn more? The National Reverse Mortgage Lenders Association at http://www.reversemortgage.org
How to use a Home Equity Line of Credit Calculator
Most home owners know that the lower the interest rate, the lower the monthly payments. But then the process may get a bit fuzzy. While your monthly payments may be the same every month, you are not applying the same amount to the principal of the loan. Your amortization will vary month to month. So, you will have to use a little math to determine how much equity you are actually gaining. Are you confused yet? If you are, don t worry. There is luckily a very helpful tool that will take the guess work out of home equity loans. Before you commit to anything, you should play around with a h ..
About the author:
Stuart Simpson has a neat mortgage calculator FREE to use. Try it out at:
http://www.mortgage-refinance-review.com/calculator.php
Stuart SimpsonWhat is a Reverse Mortgage?
