Are reverse mortgages FDIC-insured, and do banking failures affect them?

March 20, 2023     no comments

This will be welcoming news if you are worried about reverse mortgages being non-FDIC insured. Fortunately for reverse mortgage borrowers, reverse mortgages are not FDIC insured and, therefore, are not endangered by all the turmoil with banks at this time. The U.S. Department of Housing and Urban Development (HUD) guarantees the reverse mortgage. Specifically, HUD guarantees that the borrower can access the full line of credit. Rates had been creeping up quickly in recent weeks, driving borrowers’ available funds on reverse mortgages down. Still, when Signature Bank... Read Full Article

How to use a Reverse Mortgage in a Divorce Settlement

March 14, 2023     109 comments

You may have heard about how a reverse mortgage can help improve your financial situation by allowing you to withdraw the equity in your home over time. For those people meeting the 62-year-old age requirement who have substantial home equity, this can be a means to expand monthly cash flow or eliminate mortgage payments by paying off an existing mortgage through a federally insured loan. However, there is another important time when a reverse mortgage can be a helpful tool: in a divorce.  While taking charge of which spouse will... Read Full Article

Top 10 Reverse Mortgage Counseling Agencies (Free & Online Availability)

February 25, 2023     46 comments

The U. S. Department of Housing and Urban Development (HUD) requires that homeowner(s) interested in pursuing a Home Equity Conversion Mortgage (HECM) receive mandatory reverse mortgage counseling regarding the implications of and alternatives to a reverse mortgage from a HUD-approved HECM counseling agency. We are required by HUD regulations to provide you with a list of reverse mortgage counseling agencies. The list must contain Five (5) nationwide companies as directed by HUD for the Home Equity Conversion Mortgage, several counseling agencies that are the most local to you (some borrowers... Read Full Article

10 Best Reverse Mortgage Lenders of 2023 (Compare Rating & Reviews)

December 26, 2022     32 comments

When used correctly, a reverse mortgage can add stability to your retirement years. Selecting the right reverse mortgage lender to originate your loan is an important first step. We created this guide to provide insight into how HECM lenders are rated and how reviews are collected across the web, (both independent and sponsored review sites). 5 helpful tips when selecting the best reverse mortgage provider: #1. Get your reverse mortgage from a lender who is looking out for YOUR best interests.... Read Full Article

5 Options When You Don’t Qualify for a Reverse Mortgage

December 15, 2022     no comments

Many people who applied for a reverse mortgage sometime in the past but then applied again over the last year were surprised to see that when they looked at the numbers again, they received a lot less money now.  For some, the difference was so great that even though the past figures allowed them enough to repay the existing mortgage on the home, the new amount available to them was not even sufficient to pay off the balance of the existing loan. This left borrowers frustrated and, in some cases,... Read Full Article

FREE Reverse Mortgage Amortization Calculator (Excel File)

December 13, 2022     5 comments

You may be wondering: How much would I have to pay on my scenario in order to pay down the Reverse Mortgage over time if I were to get one? All Reverse Mortgage has developed the first ever reverse mortgage amortization calculator that allows you to do just that. You can decide how much you would want to pay on a monthly basis and the calculator can show you how that will change the amortization of your loan. All Reverse Mortgage has developed the first ever reverse mortgage amortization calculator... Read Full Article

Top 3 Reverse Mortgage Calculators in 2023 (No Personal Info)

December 10, 2022     9 comments

The Internet is an excellent tool for consumers to research many lending products. But it is essential to be selective when researching financial products and seek advice from a trusted resource. Reverse mortgages are no exception.  Many websites offer “free reverse mortgage calculators” that allow consumers to enter the home and personal information and calculate whether they’re eligible for a loan and, if so, how much of their home’s equity they’d be able to access. Some reverse mortgage calculators also detail how consumers can tap into their home equity. For most... Read Full Article

Shocking Truth About Condominiums and Reverse Mortgages

December 6, 2022     78 comments

Many senior borrowers who are eligible for reverse mortgages or are about to become eligible and who live in condominium projects have no idea of the surprises that may be waiting for them.  You may know neighbors who live in your project who currently have reverse mortgage financing and hear about how easy it was. Unfortunately, changes have taken place about condominiums and HUD programs in the past few years that have changed much of this. If you live in a condominium, before you start making plans that include a reverse... Read Full Article

Reverse Mortgage Pros & Cons: Starting with the Negatives

December 5, 2022     54 comments

Pros And Cons of Reverse Mortgages: Exploring the Benefits and Downsides When used correctly, a reverse mortgage, also known as the Home Equity Conversion Mortgage (HECM), can add stability to your retirement years. However, as with any financial product, it is not always the best program for everyone. We published this pros and cons guide to help you in making an informed decision about reverse mortgages and assist you in determining if this program is suitable for your long-term retirement goals. Reverse Mortgage Downsides #1. Reverse... Read Full Article

Warning: Reverse Mortgage Downsides & Disadvantages

November 29, 2022     23 comments

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 and older. The reverse mortgage is a home loan that allows qualifying borrowers to borrow against their home equity. Most reverse mortgages are of the Home Equity Conversion Mortgage type, which means they are insured by the Federal Housing Administration and come with certain requirements. ... Read Full Article