Robert Jackme Blog

Who is a good candidate for a reverse mortgage? If you have your own home and don’t have enough savings for your daily based expenses or expenses for your life style, a reverse mortgage has a few advantages. 1/3 of U.S.  http://www.beingarealtor.com Families don't have enough savings for retirement and the average amount saved among the remaining 2/3 was $73,200.  That would get you through some years of retirement; however it’s not enough to last through a long retirement. A reverse mortgage can ease the pressure on you of your monthly expenses. Most senior citizens live on fixed earnings; it can supplement Social Security and help handle with the inevitable mounting medical prices. Who isn't a good candidate for a Reverse Mortgage? A reverse mortgage is a questionable proposition if you have sufficient income to pay your bills or are willing to sell your home to tap into the equity.  If that’s the case, it may make greater feel to simply sell it and d...

For some people, yes. They have asked pertinent questions like: Do I want to maximize what I can leave to my heirs? Am I going to live in my home deep into my retirement? How much extra income will I need to meet my needs? Can I pay the taxes, insurance and meet all the obligations that come with a reverse mortgage? Unlike all those people who’ve been foreclosed on, do I really know what I’m getting into? If the answers to those questions are sketchy, you should consider a safer financial route like a traditional home equity loan or line of credit. Whatever the decision, seek personalized advice from a financial counselor or debt-management agency. Tom Selleck might say reverse mortgages are not too good to be true. But Magnum P.I. showed that it always pays to investigate

The booming senior population – and some advertising spots by actor Tom Selleck – are part of the reason reverse mortgages are popular again. When Selleck talks, people listen. Lately, the star of “Blue Bloods” and “Magnum P.I.” has been talking about reverse mortgages. Don’t worry, he says in a commercial. Reverse mortgages can be an answer to your financial prayers. “It’s not another way for banks to get your house,” Selleck says. “And it’s also not too good to be true.” That’s easy to say when you have an estimated worth of $45 million like Selleck, but thousands of Americans who aren’t TV stars have different ideas. The industry is steeped in promises, controversy and cautionary tales. If you’re considering getting a reverse mortgage, the best way to ensure a happy story is to educate yourself. Business is booming at places like American Advisor Group, or AAG. The company that Selleck endorses has seen its revenue triple from $63 million in 2012 to $216 milli...

A reverse mortgage is a type of home loan that lets you convert a portion of the equity in your house into cash. With regular mortgages, borrowers make monthly payments to pay down the debt. With reverse mortgages, lenders pay borrowers and the debt increases over time. The loan isn’t settled until the borrower sells their home, moves out or dies. The loan is then repaid or the home is sold to pay off the debt. Owners must pay the property taxes and insurance costs and keep the house in good condition when they agree to a reverse mortgage. If they don’t – and many have fallen into that trap – the lender can foreclose. Most reverse mortgages are insured by the Federal Housing Administration under a program known as the Home Equity Conversion Mortgage, or HECM. The first reverse mortgage was written 1961 when Deering Savings & Loan in Portland, Maine, designed one to help a widow stay in her home after her husband’s death. The program really took off in 1988 when Congres...

What is Reverse Mortgage? As the word ‘reverse’ shows it is totally reverse to the regular mortgage. Under  Reverse mortgage loan , initially the borrower retains a high share in his property and receives a regular income. Over the time, when loan amount increases, owner’s share in the property decreases. To learn more about Reverse Mortgage, you have to look know some positive impacts and some negative impacts. Reverse Mortgage is not beneficial in some cases. Positive Impacts of Reverse Mortgage: Reverse mortgage loan as retirement tool: As many people said reverse mortgage has many disadvantages but I am not totally agreed with them. Everything is not for everyone. What I want to said is Benefits of reverse mortgage is varies from person to person, circumstances to circumstances. I recommend those retiree who are 62 or above with house owner to go with reverse mortgage, only if they don’t have any guardian who can support them financially. Because in t...

Pros and Cons of Reverse Mortgages They are a steady stream of income that lasts for years. You can convert the equity in your home into a pile of cash without having to move out. The money is tax free. Rather than income earned, a reverse mortgage is considered a loan so the IRS can’t get its sticky fingers on it. And a reverse mortgage will not affect your Social Security or Medicare payments. As for the cons, failing to keep up with the monthly fees has cost a lot of people their homes. Of course, if they didn’t pay those bills they’d also face foreclosure with a traditional loan. The difference is that with traditional loan, the debt decreases every month. Since there are no mortgage payments with a reverse mortgage, the loan balance increases every month. Between the interest and other costs, the debt may eventually exceed the home’s market value. If you want your children to inherit the house, they could be stuck with a steep bill. The good news is you or your estate w...

A reverse mortgage application procedure typically takes about 30-45 days from begin to end and it contains 5 main steps. But, the longest a part of the reverse mortgage loan process is the decision-making method that leads on the application. The average reverse mortgage applicant starts considering thinking about a reverse mortgage six months earlier than completing an application. The average reverse mortgage applicant starts considering thinking about a reverse mortgage six months earlier than completing an application. The home owner usually researches reverse mortgages with this site for a several months. They request facts from a local reverse mortgage professional. The house owner might also invest one to two months meeting with the professional in individual and reviewing the best faith estimate and different loan documents. Calculate Your Eligibility Step 1: Initial application The application legally authorizes the lender to start the application process but befor...

Reverse Mortgage Application Process: For More Details Visit: http://www.beingarealtor.com  A common false impression with the reverse mortgage loan is that the procedure may be a lengthy one. This simply isn’t the case.  The technique for receiving a reverse mortgage at one reverse mortgage is an easy 4 step process. Right here is what you can expect during the reverse mortgage process. 1: Communicate with us, completes the application and counseling Step one is to give us a call and speak with a certified professional.  They can evaluate your situation with you and decide if a reverse mortgage is good for you or not. If this system makes sense for your financial goals an application can be sent out to you. We will assist you with the paperwork and assist you in figuring out the fine way to acquire your money out of your new reverse mortgage. You may select to receive your money in a Lump sum – take all of your cash today Time period payments – equal amount ...

How do I qualify for a reverse mortgage? Home Equity: for more details visit: http://www.beingarealtor.com Home Equity Convention Mortgage is a government institution which helps you to utilize the value of your home and convert it into cash, but it depends on you that how much you want to convert. Advantage: Many senior homeowners have taken advantage from this technique since its inception in 1961. Eligibility of Reverse Mortgage depends on: General requirements which contains age 62+, is a homeowner and some others Home qualifications which contains HUD and FHA rule Financial Qualifications which contains homeowner income and debt General Requirements: Age must be 62 years or above. As this loan is available to individuals in retirement age because reverse mortgage was designed to help seniors age in their homes. You must have your own home: You must be an owner of home or low enough remaining mortgage balance for the reverse mortgage loan to pay it off. Your hom...

Frequently Asked Questions about HUD's Reverse Mortgages For more details visit: http://www.beingarealtor.com What is a reverse mortgage? A reverse mortgage is a special type of home loan that lets you convert a portion of the equity in your home into cash. The equity that you built up over years of making mortgage payments can be paid to you. Can I qualify? 62 years of age or older Own your home outright Financial resources to pay ongoing property charges including taxes and insurance Consumer information free Can I apply for a HECM? If you did not buy your present house with FHA mortgage insurance, Yes.  You may apply for a HECM regardless of whether or not you purchased your home with an FHA-insured mortgage. What types of homes are eligible? To be eligible for the FHA HECM, your home must be a single family home or a 2-4 unit home with one unit occupied by the borrower. Difference: What are the differences between a reverse mortgage and a home equity loan? ...