With rising costs, medical bills, and living expenses you may be considering a reverse mortgage loan to secure your retirement by converting a portion of your home equity into cash.
What is the Reverse Mortgage Process?
If your home is not yet paid off, then you can use a part of your home equity to first pay off your existing mortgage on the home before receiving a cash sum.
The loan balance comes due when the borrower moves out of their primary residence, fails to pay their financial obligations (insurance, home maintenance, and property taxes), or passes away. Until one of these scenarios occurs, the borrower is not required to make monthly reverse mortgage loan payments. However, it may be beneficial to make monthly payments in order to keep your loan interest low or keep it from accruing.
How Long Does the Reverse Mortgage Loan Process Take?
- Once you apply, you can expect a free quote with no obligations. We are happy to follow up with a phone call or home visit to answer any lingering questions you may have and provide you with the necessary resources to make an educated decision and complete the reverse mortgage process.
- If you choose to move forward, you will need to schedule a session with a government-licensed and HUD-approved counselor. They will explain the advantages and drawbacks of reverse mortgages, qualifications, obligations, and cover all of your options for meeting your retirement goals.
- We will send over a copy of the reverse mortgage loan application and an agent can walk you through the questions if you need help.
- From there a licensed external appraiser will assess your property and determine the home value.
- Once you complete all of the reverse mortgage process steps, you can sign and enter retirement comfortably.