ee Reverse Mortgages Offer Freedom And Choices (NAPSA)—If youw’re like most homeowners, you’ve taken care of your house over the years; now,it seems, your house may help take care of you. It’s due to the reverse mortgage, a government-insured homeloan program that lets those 62 and older leverage the equity in their house while eliminating monthly mortgage payments. How It Works It works like this: A portion of the equity in the homeis converted to tax-free cash. The homeowner no longer makes a monthly payment but continues to pay any applicable taxes and insurance. When the homeis sold, the proceeds go toward paying off the reverse mortgage and any remaining cash is kept by the former homeowner. There are some restrictions, such as the youngest homeowner must be 62 years of age and have equity in the house. However, unlike traditional, forward mort- gages, credit scores and income requirementsare not a factor with reverse mortgages. A reverse mortgage can help a person age in place. much personal information,” said Ann Medeiros, 63. “But I was com- pletely wrong. My home needed a lot of repairs and I was able to make them with the money from my reverse mortgage. Now I'll be able to continue to live in this homefor the rest of mylife.” Many Americans are finding that reverse mortgages allow them to supplement retirement accounts that have been dwindling since the economic downturn. “We’ve been able to help clients defer taking their Social Security benefits, postpone IRA and 401(k) disbursements, and even had cases conceptions that keep somepeople from seriously considering a reverse mortgage.” Truth vs. Myth The largest concern people con- where homeowners were days away from losing their house and, through a reverse mortgage, were able to not only keep their home but eliminate a monthly payment and have tax-free cash for future expenses,” Farner added. If you feel like you might benefit from a reverse mortgage, find a reputable lender whowill take the time to understand yourfinancial position and goals and give you an seems to be that the bank or gov- gages are just one of many “Reverse mortgages are a fan- tastic option for folks 62 or older with equity in their house,” said Jay Farner, CEO of One Reverse Mortgage, a leading national reverse mortgage lender. “However, there are a number of mis- sidering a reverse mortgage have ernment will own their home. Thatbelief is totally false. “T had heard that the government would own my home and I wasafraid I’d have to give out too honest opinion. Reverse mortoptions. Learn Learn More more at ww w. onereversemortgage.com or call (800) 401-8114.
