Reverse Mortgage for You Retirement Fund
Many people work hard every single day in their life. Mostly, without any proper vacation. When it´s time to retire, don´t you want to be able to take a vacation? Don´t you want to have a world round trip? Don´t you want a houseboat? Don´t you want to go skiing on the mountain?
One of the ways to achieve it is through a reverse mortgage. Although reverse mortgage is not created to be used to support your retirement, this unique usage of reverse mortgage has been quite popular in recent years.
So, how this reverse mortgage works? What is reverse mortgage anyway?
Reverse mortgage allows the home owner to borrow money out of their home equity. This money later on will be paid when the house being sold as the owner dies or just being sold for some reasons.
At first, reverse mortgage is created to provide a last resort for the home owner to avoid foreclosure, pay medical or other emergency expenses, or keep the home from disrepair. However in recent years, home owners have tried to find creative ways to make their retirement time more fun and enjoyable.
The simplest way of using a reverse mortgage is something like this. Retirees borrow money out of their home equity. Then, the money is used to pay for their world round trip, houseboats, or other "dreams" they want to achieve. The borrowed money will be paid later on when the house is sold by them or when the house is being foreclosed because the owner dies.
Of course, reverse mortgage should be used only after careful consideration. Borrowing out from the house equity might end up in no emergency funds. Sometimes by taking a reverse mortgage, someone is cutting his own safety net. What will happen if lengthy hospital stay is unavoidable? What will happen if a spouse is incapacitated and needs housing in nursing home? These are only several things you have to consider when you want to take a reverse mortgage.
Because of the effect of double edge sword of reverse mortgage, you should always consult your situation with a reputable lawyer and financial advisor.
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Disclaimer:
The general information provided by http://MortgagePalace.blogspot.com is intended as an educational purpose only, and should not be interpreted as legal advice. The law varies drastically by location and legal specialty, and http://MortgagePalace.blogspot.com makes no promises about the accuracy or completeness of the information provided. You should not rely on our information when making legal decisions. We recommend that you consult with a lawyer to get professional legal advice on how best to deal with your situation.
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** Attn Ezine editors / Site owners **
Feel free to reprint this article in its entirety in your ezine, blog, autoresponder, or on your site so long as you put a link back to this original post, leave all links in place, and do not modify the content in anyway.
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One of the ways to achieve it is through a reverse mortgage. Although reverse mortgage is not created to be used to support your retirement, this unique usage of reverse mortgage has been quite popular in recent years.
So, how this reverse mortgage works? What is reverse mortgage anyway?
Reverse mortgage allows the home owner to borrow money out of their home equity. This money later on will be paid when the house being sold as the owner dies or just being sold for some reasons.
At first, reverse mortgage is created to provide a last resort for the home owner to avoid foreclosure, pay medical or other emergency expenses, or keep the home from disrepair. However in recent years, home owners have tried to find creative ways to make their retirement time more fun and enjoyable.
The simplest way of using a reverse mortgage is something like this. Retirees borrow money out of their home equity. Then, the money is used to pay for their world round trip, houseboats, or other "dreams" they want to achieve. The borrowed money will be paid later on when the house is sold by them or when the house is being foreclosed because the owner dies.
Of course, reverse mortgage should be used only after careful consideration. Borrowing out from the house equity might end up in no emergency funds. Sometimes by taking a reverse mortgage, someone is cutting his own safety net. What will happen if lengthy hospital stay is unavoidable? What will happen if a spouse is incapacitated and needs housing in nursing home? These are only several things you have to consider when you want to take a reverse mortgage.
Because of the effect of double edge sword of reverse mortgage, you should always consult your situation with a reputable lawyer and financial advisor.
-=-=-==-=-=-=-==-=-=-=-=-=-=-=-=-=-=-=-
Disclaimer:
The general information provided by http://MortgagePalace.blogspot.com is intended as an educational purpose only, and should not be interpreted as legal advice. The law varies drastically by location and legal specialty, and http://MortgagePalace.blogspot.com makes no promises about the accuracy or completeness of the information provided. You should not rely on our information when making legal decisions. We recommend that you consult with a lawyer to get professional legal advice on how best to deal with your situation.
-=-=-==-=-=-=-==-=-=-=-=-=-=-=-=-=-=-=-
** Attn Ezine editors / Site owners **
Feel free to reprint this article in its entirety in your ezine, blog, autoresponder, or on your site so long as you put a link back to this original post, leave all links in place, and do not modify the content in anyway.
-=-=-==-=-=-=-==-=-=-=-=-=-=-=-=-=-=-=-
posted at
11:22 PM
2 Comments:
Thanks for the info, it was really helpful. I'll surely visit back again later.reverse mortgage pros and cons
If you are a homeowner age 62 or older and have paid off your mortgage or paid down a considerable amount, and are currently living in the home, you may participate in FHA's Home Equity Conversion Mortgage (HECM) program.
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