Welcome to the official blog of All Reverse Mortgage®

What Happens to my Reverse Mortgage if Home Burns Down?

October 17, 2019     no comments

I live in California, have a reverse mortgage and would like to know what happens if my home were to burn down in a fire? Do my monthly payments or line of credit continue if I must rebuild? If my insurance will not cover my loss does the loan become due? Insurance coverage works the same on a reverse mortgage as it does on a forward loan.  All hazard claims are paid jointly the owner and anyone listed as “additional insured” (the lender) until the repairs are completed at... Read Full Article

Free Reverse Mortgage Amortization Calculator (Excel File)

October 16, 2019     6 comments

All Reverse Mortgage has developed the first ever reverse mortgage amortization calculator free for download that lets you change future interest rate, appreciation rates and payment assumptions. Purpose of The Amortization Calculator Have you ever wondered about how a reverse mortgage loan could be more advantageous than a traditional loan? Are you someone who thinks Reverse Mortgage loans are only for those in dire straits? Think that if you get a Reverse Mortgage loan that you will have no equity in your home for the rest of your life? I... Read Full Article

Appraisers Use the Sales Comparison Approach, Not Zillow.

October 16, 2019     no comments

Here is where Appraisals are not updated and correct? Zillow and others use sales per sq ft for cookie-cutter homes. They omit custom built homes in comparable homes because of lack of construction knowledge and insurance coverage? Costs of replacement coverage and appraisals would place a 5000 sq ft total home cost at $800,000-min w/o lot? Go Figure how you could be insulted at $600k on a no-nothing Appraisal? You just hit the nail squarely on the head but from an angle you didn't mean to go.  Appraisers... Read Full Article

Here Are the Banks That Offer Reverse Mortgages (2019 List)

October 13, 2019     5 comments

When it comes to getting a reverse mortgage, you may start by wondering what type of lender to work with, and specifically: which banks offer reverse mortgages. Perhaps you used a national or regional bank for a mortgage loan in the past as many of the big banks offer mortgage lending services.It’s also possible you worked with a non-bank mortgage lender, as these companies are also active in the mortgage lending space. There are many banks that offer reverse mortgages, although most of the major national banks, such as... Read Full Article

What is a Reverse Mortgage? Explained in Simple Terms!

October 13, 2019     66 comments

A reverse mortgage is a loan for homeowners age 62 and older that requires no monthly mortgage payments. The loan is repaid when the borrower passes away, leaves the home permanently or sells. Funds available are distributed as a lump sum, line of credit or structured monthly payments. What it is:  A loan against your home’s equity A loan with no required monthly mortgage payments A loan designed to meet the needs of retirees on fixed incomes Tax-free cash for virtually anything (social security income supplement, long-term... Read Full Article

How Does a Reverse Mortgage Work? Know the Facts!

October 13, 2019     10 comments

A reverse mortgage works by allowing homeowners age 62 and older to borrow from their home’s equity without having to make monthly mortgage payments. As the borrower, you may choose to take funds in a lump sum, line of credit or via structured monthly payments. The repayment of the loan is required when the last surviving borrower vacates the home permanently. How It Works:  Access a portion of your home’s equity Percentage is based on age of youngest borrower Make no monthly mortgage repayments Funds are tax-free, and may... Read Full Article

Reverse Mortgage Line of Credit & Growth Rate Explained

October 13, 2019     77 comments

In 2019, the reverse mortgage line of credit continues to be the most popular option for homeowners when choosing how to access their funds.  According to an article by AARP, borrowers recognized this choice at about 66% of the time when obtaining a reverse mortgage as being the right choice for them. The credit line option allows borrowers a great deal of freedom when planning their finances. Homeowners like the fact that they can take as much as they want when the loan originally closes up to the maximum allowed by... Read Full Article

Reverse Mortgage Purchase: Down Payment, Limits & Rates

October 12, 2019     36 comments

Wondering what a reverse mortgage is, and whether it can be used in the purchase of a new home? It sure can, in a process called a Home Equity Conversion Mortgage Purchase. Basically, a new home is bought at the same time a reverse mortgage is taken, and the transaction is rolled into one. The Reverse Mortgage Purchase is an option for homeowners who want to relocate, either to be closer to family, to downsize, or move to a home that better meets their needs—a home without stairs, for... Read Full Article

Here are the Downsides of a Reverse Mortgage in 2019

October 10, 2019     8 comments

A reverse mortgage is a loan, and as with any type of loan there are benefits and there can be downsides. What is the downside to reverse mortgages?  A reverse mortgage is a loan, and as with any type of loan there are benefits and there can be downsides. Here, we will address some of the pros and cons associated with reverse mortgages for those qualifying individuals who are age 62 or older. The reverse mortgage: a non-recourse loan designed for senior borrowers The reverse mortgage is a home loan... Read Full Article

Purchase Reverse Mortgage Purchase FAQs (Updated 2019)

October 10, 2019     no comments

What is a Purchase Reverse Mortgage? A Reverse Mortgage for Purchase allows seniors, age 62 or older, to purchase a new principal residence using loan proceeds from the HECM (Home Equity Conversion Mortgage) What is the purpose of the program? The Purchase Reverse Mortgage program was designed to allow seniors to purchase a new principal residence and obtain a reverse mortgage within a single transaction by eliminating the need for a second closing.  The program was also designed to enable senior homeowners to relocate to other geographical areas to... Read Full Article