Unlike other mortgage loans, reverse mortgage loans are considered the best option for seniors, as they do not have to make any monthly payments to the lender. In fact, the lender pays monthly payments to the borrower while he continues to live in his own home, without any financial burdens.
While a borrower is not due to make payments back to the lender while he is alive or is staying in the home, he can still make pre-payments to the reverse mortgage lender. He will not be liable to pay any prepayment penalties too.
So, unless you have plans to sell the home to move out to a different home, it doesn’t make much sense to make prepayments. On the other hand, reverse mortgage loans are non recourse loans. So, even if you plan to sell the home before you die, you will never be liable to pay more than the value of your home. If you die and your heirs desire to keep the home, they can payback the loan to the lender to retain the home in their name.
Such information is essential to know before you begin with the procedure to take reverse mortgage loans. If you want to know more, you need experienced consultants to provide you with the right guidance. Reverse Mortgage Group is one such consultancy that not only provides you information related to reverse mortgage loans but also helps you to connect with reliable reverse mortgage lenders.
Get in touch with them and secure your future financially!
Sunday, February 27, 2011
Wednesday, February 23, 2011
Cash Received from Reverse Mortgage Loans Are Tax-Free
Theageing process also comes with financial burdens that sometimes become hard to manage on your own. With the passage of time, your monthly income stops and you begin to experience financial burdens like home maintenance, medical bills, etc.
To surpass such financial burdens, reverse mortgage loans are now available for seniors of 62 years of age or more. They simply must have title of the home on their name and must meet age requirements to qualify for this loan.
However, if you are thinking that you may become liable to pay tax after acquiring lump sump amount from the lender against your home, then good news is that HECM reverse mortgage loans are tax-free. It is because the cash received from this type of loan is not earned income but it is the principal balance of a loan that has to be repaid with interest.
This may prove to be an exciting option for seniors as they don’t have to repay till they are alive and are not liable to pay any taxes on the amount received. So, while you are applying for a reverse mortgage loan, you need to consider all the factors that may hinder your peace in the future.
Consulting with a professional dealing in reverse mortgage loans might be of your help as they can guide on the right path for your assets and income. Reverse Mortgage Group is one of the well-known service providers that help to connect with reliable lenders for secure reverse mortgage options and procedure.
To surpass such financial burdens, reverse mortgage loans are now available for seniors of 62 years of age or more. They simply must have title of the home on their name and must meet age requirements to qualify for this loan.
However, if you are thinking that you may become liable to pay tax after acquiring lump sump amount from the lender against your home, then good news is that HECM reverse mortgage loans are tax-free. It is because the cash received from this type of loan is not earned income but it is the principal balance of a loan that has to be repaid with interest.
This may prove to be an exciting option for seniors as they don’t have to repay till they are alive and are not liable to pay any taxes on the amount received. So, while you are applying for a reverse mortgage loan, you need to consider all the factors that may hinder your peace in the future.
Consulting with a professional dealing in reverse mortgage loans might be of your help as they can guide on the right path for your assets and income. Reverse Mortgage Group is one of the well-known service providers that help to connect with reliable lenders for secure reverse mortgage options and procedure.
Sunday, February 20, 2011
Choosing Between Fixed and Adjustable Rate HECM Loans
Borrowers who are planning to apply for a reverse mortgage loans are often confused between a fixed rate and adjustable rate Home Equity Conversion Mortgage Loan (HECM).
To clear up any confusion, below is a short description of both types of loan rates:
With fixed rate HECM loans, the interest rate is locked for the entire duration of the loan. The only benefit you can receive from this type of loan is that you will always be aware of the interest rate accrual of the reverse mortgage.
On the other hand, the adjustable rate HECM loans have greater flexibility as you can choose between a line of credit, a lump sum,or a combination of monthly payments. This type of loan is also insured by the government and may be offered at lower interest rates. Moreover, this is for an extended period of time as your interest rate can change, but it won’t affect your monthly lifestyle.
The Reverse Mortgage Group will help you with advice, guidance, and information to consider while choosing between both loan types.
To clear up any confusion, below is a short description of both types of loan rates:
With fixed rate HECM loans, the interest rate is locked for the entire duration of the loan. The only benefit you can receive from this type of loan is that you will always be aware of the interest rate accrual of the reverse mortgage.
On the other hand, the adjustable rate HECM loans have greater flexibility as you can choose between a line of credit, a lump sum,or a combination of monthly payments. This type of loan is also insured by the government and may be offered at lower interest rates. Moreover, this is for an extended period of time as your interest rate can change, but it won’t affect your monthly lifestyle.
The Reverse Mortgage Group will help you with advice, guidance, and information to consider while choosing between both loan types.
Tuesday, February 15, 2011
From Application to Funding Reverse Mortgage Loans
Reverse Mortgage Loans are specifically designed for people who are 62 years of age or older so that they can enjoy the golden years of their life with peace and financial stability. But, the only requirement is that they must own a house, with their name on the title.
Reverse Mortgage loans are federally insured programs and hence, require little time from application to funding. The borrower needs to submit the essential documents to the bank on time to accelerate the loan process. You can make this possible by working with reverse mortgage counselors who will help you gather and organize all of the application information to ensure that you do not miss out on any information before applying.
Generally, it takes about 30-45 days to complete the whole loan process. Once the final documents are signed, it usually takes 3 more days to receive your final papers. Eligible borrowers are over62 years of age and must own the home, with their name on the title.
Reverse Mortgage Group helps senior borrowers by providing assistance, guidance, and advice during the reverse mortgage loans process. If you need any assistance with the process, then complete the form (Link) available on the website.
Reverse Mortgage loans are federally insured programs and hence, require little time from application to funding. The borrower needs to submit the essential documents to the bank on time to accelerate the loan process. You can make this possible by working with reverse mortgage counselors who will help you gather and organize all of the application information to ensure that you do not miss out on any information before applying.
Generally, it takes about 30-45 days to complete the whole loan process. Once the final documents are signed, it usually takes 3 more days to receive your final papers. Eligible borrowers are over62 years of age and must own the home, with their name on the title.
Reverse Mortgage Group helps senior borrowers by providing assistance, guidance, and advice during the reverse mortgage loans process. If you need any assistance with the process, then complete the form (Link) available on the website.
Thursday, February 10, 2011
Applying for a Reverse Mortgage with a Professional’s Help
Do you want to apply for a reverse mortgage loan? Are you fed up with looking for a bank that will offer you the best deal? Let’s make this simple by getting in touch with a professional counselor. They play an important role as they are experienced players in the reverse mortgage industry and are aware of the best time to apply for this type of loan.
Moreover, they have the details about multiple banks and lenders and will save you time by providing the best deals. This will help you to eliminate the guesswork while comparing the banks offering lowest rates and highest cash value for your home.
You can’t trust all of the professionals out there trying to assist you; you need to get in touch with a reliable and reputed firm. Reverse Mortgage Group has a flawless reputation in the industry for providing information, quotes, and assistance while applying for a reverse mortgage loan.
They will also provide you with the information for different loan options. So, don’t risk proceeding with the application without the professional help and guidance that’s available to you.
Moreover, they have the details about multiple banks and lenders and will save you time by providing the best deals. This will help you to eliminate the guesswork while comparing the banks offering lowest rates and highest cash value for your home.
You can’t trust all of the professionals out there trying to assist you; you need to get in touch with a reliable and reputed firm. Reverse Mortgage Group has a flawless reputation in the industry for providing information, quotes, and assistance while applying for a reverse mortgage loan.
They will also provide you with the information for different loan options. So, don’t risk proceeding with the application without the professional help and guidance that’s available to you.
Sunday, February 6, 2011
What To Ask A Professional Reverse Mortgage Counselor?
The reverse mortgage counselors have the right experience and knowledge that can make this process much easier and smoother. However, you should know the right questions to ask from them well in advance so that you can be sure that you are taking the right steps in this matter.
Here under are few questions that can help you gain more information about a reverse mortgage loan:
1. Enquire the best loan option:only a few of the available reverse mortgage loans are a good fit for each senior who want to maximize his/her cash flow. A counselor provides essential guidance that helps to make the right decision as per the needs and other factors determining the particular loan option.
2. Enquire about scam companies: An experienced counselor will help you to connect with a reasonable reverse mortgage company. They will help you to keep secure from scam companies in the industry.
3. Ask the best time to start the loan: Reverse home mortgage loan is also a financial product and there is always a fluctuation in the offers from the different lenders. Determine the timing so that you can receive maximum benefits from the loan.
For all the above questions, you need to contact a counselor working with a renowned company. Reverse Mortgage Group has been serving borrowers with their knowledge and experience by guiding them through only the best loan options available.
Get in touch with them andclarify your understanding before you proceed further to apply for this loan!
Here under are few questions that can help you gain more information about a reverse mortgage loan:
1. Enquire the best loan option:only a few of the available reverse mortgage loans are a good fit for each senior who want to maximize his/her cash flow. A counselor provides essential guidance that helps to make the right decision as per the needs and other factors determining the particular loan option.
2. Enquire about scam companies: An experienced counselor will help you to connect with a reasonable reverse mortgage company. They will help you to keep secure from scam companies in the industry.
3. Ask the best time to start the loan: Reverse home mortgage loan is also a financial product and there is always a fluctuation in the offers from the different lenders. Determine the timing so that you can receive maximum benefits from the loan.
For all the above questions, you need to contact a counselor working with a renowned company. Reverse Mortgage Group has been serving borrowers with their knowledge and experience by guiding them through only the best loan options available.
Get in touch with them andclarify your understanding before you proceed further to apply for this loan!
