There is no “catch” to a reverse mortgage. Like any loan you may be considering, it is a trade-off of costs versus benefits. The fees on a reverse mortgage can be fairly high and many people point to ... Continue

Because the amount owed on a reverse mortgage increases over time, it is possible for the amount owed on a reverse mortgage to be more than the home is worth. It is not the most likely case, but it is... Continue

If you plan on moving within the next three to five years and can manage the monthly payments required of a home equity line of credit (HELOC), the HELOC may be a better choice. A HELOC usually offe... Continue

Yes. Title to the home always remains with the homeowner. Just like a conventional mortgage or home equity loan, the lender simply places a lien on the home to ensure that it is repaid upon the sale o... Continue

Like any product that is unique, the reverse mortgage is a little more expensive to get. That being said, it is difficult to compare its fees to other loans on an apples-to-apples basis because there ... Continue

Having an existing mortgage does not prevent you from qualifying for a reverse mortgage.  However, you must qualify for enough on the reverse mortgage to pay off the existing mortgage balance.... Continue

No - income is not a consideration for qualifying for a reverse mortgage.  This is one of the ways a reverse mortgage is different from other loans.  Since no payments are required, it do... Continue

Because a reverse mortgage is an expensive loan to get, it should be used as a long term solution.  As such, the best candidate for a reverse mortgage should plan on staying in their home... Continue

The higher lending limits signed into law help make the reverse mortgage even more attractive by increasing the amount that those with higher-valued homes can get from a reverse mortgage.  This h... Continue

No, it is not more difficult to get a reverse mortgage in this economic climate.  Reverse mortgages have been insulated from the recent turmoil because they are government insured.  With thi... Continue

Since Medi-Cal is an asset-tested government program (i.e. California’s version of Medicaid), you should be very careful about how you take the reverse mortgage proceeds. Getting a reverse mortga... Continue

No. Your reverse mortgage proceeds are based on the value of your home at the beginning of the loan. If the property goes down in value afterward, there is no downward adjustment to your loan procee... Continue