Understanding Reverse Mortgages

Reverse Mortgages - Too good to be true? Think again.

There is a mortgage with zero mortgage payments, where your line of credit grows at the SAME growth rate as the interest rate, where you can have MORE money in your line of credit than when you started, where you can age in your home and receive a monthly check for life or even get cash out. It might sound "too good to be true", but it isn't.  It's called the Home Equity Conversion Mortgage known as HECM. It is referred to as a Reverse Mortgage.

Reverse Mortgage Helpline provides helpful Reverse Mortgage information about Reverse Mortgages as a viable option toward financial independence. Seniors are increasingly seeking to age in place in the home where they have lived for many years. But often the options are few.

Incomes in America have drastically changed especially for seniors.  Senior homeowners find themselves in a catch 22 situation.  They seem to be living longer but are still short on cash. Retirement? Who knows what that is anymore. Seniors often say there is more month left at the end of the money.  A Reverse Mortgage may be the answer to the many challenges facing senior homeowners in their retirement years.  As a Reverse Mortgage Specialist and senior, I understand the needs of the senior population especially on Long Island and all of New York. I believe in Reverse Mortgages for the right person and for the right reason. Learn more from this website so you can stay informed.

Learn More

Everyone has questions.  I don't know anyone who has all the answers. There are qualifying factors with any mortgage, and Reverse Mortgages are no different.  But once you realize it's pretty basic, you'll feel a lot more secure about the program. You may find answers to most of the questions  people ask about Reverse Mortgages at the link below. And if you have further questions, give me a call. 631-804-9044 - KATHIIE ADLER

It's All About Lifestyle

Everybody is different. And so the needs are different.

LIFESTYLE and WORKING PAST RETIREMENT

When I speak with senior homeowners about their current financial situation, I like to talk with them about lifestyle. What is lifestyle? Merriam-Webster defines lifestyle as: “The typical way of life of an individual, group, or culture.”

Now, lifestyle, way of life, and what it means from person to person can vary greatly. What is your typical way of life? For one person it can mean traveling, for another it can mean just enjoying a quiet day alone, to another it’s gardening, and for some it's being able to visit the grandkids halfway across the country whenever you want.  Changes happen to everyone. It can come early or late in life. Later in life, some changes are the need for medication, more doctor’s visits, and the loss of a spouse. Additionally, paying mortgages and real estate taxes is a challenge for many senior homeowners who find themselves facing tough times.  

Many senior citizens are still working past retirement age. Whether by choice or by necessity, working past retirement is not unusual in this day and age. Everyone would like to choose their own lifestyle, but unexpected things happen to people every day.  So if you've been depending on social security or your pension and still find you are short at the end of the month, learn more about reverse mortgages and what the program can do for you.   

What Is a Reverse Mortgage?

Converting Equity = Financial Freedom

A Reverse Mortgage is a special type of loan for homeowners 62 years of age and above who want to convert part of the equity in their home into tax free cash without having to sell the home, give up title, or take on a new monthly mortgage payment. A Reverse Mortgage will not affect Social Security or Medicare, and there are no health or minimum credit score requirements. You can even own two homes in different states (a second home closer to kids and grandkids) as long as one of the homes is your primary residence.  A Reverse Mortgage can provide peace of mind in your retirement years, and if you are considering moving, you can do a Reverse Mortgage purchase on another home and yet, have no monthly mortgage payments.  Of course, lenders will accept a monthly payment of your choosing, but it is not necessary.

A Reverse Mortgage frees up the equity in your home that has been sitting there virtually untapped and converts it into tax free cash.  This can mean financial freedom and financial stability.  A Reverse Mortgage can be used for a host of needs and wants. Familiarize yourself with the content of this website and be sure to give me a call for a free quote and free literature.  After all, until you know the numbers and how much money you can expect from a Reverse Mortgage, how can you decide whether it's right for you or not?  The phrase, "too good to be true", while it may apply to some situations, does not apply here. This loan is a great mortgage for seniors and for all the right reasons. For the right person, a reverse mortgage can be a life changing experience. It can provide peace of mind in your retirement years and freedom from worry, and it can certainly change your financial picture. One exciting feature of the loan: if there is enough equity in your home, your current mortgage balance can be completely paid off by the reverse mortgage, thereby releasing you from any further mortgage payments for the rest of your life.

With the NEW FHA Insured HECM, you can keep your house and can also make payments if you want to. It's entirely up to you.  Please consider this loan. If you don’t have a savings cushion in case you need money, If you don’t have a diverse portfolio of assets, If you are relying on social security checks to support the household bills, If you want your house to pay its own taxes from now on, If you are accessing taxable funds now or are stressed out about your mortgage payments, the HECM program could change your entire life.

Changing Your Financial Picture

What Would More Money Do For You?

Ever dream of having more cash on hand to enjoy the finer things in life? Perhaps you just want to rid yourself of that mortgage payment that seems to never go away.  Is a Reverse Mortgage right for you? Maybe it is. It's time your biggest investment, your house, began to pay you back. It just makes sense. Here are a few things you can do with a Reverse Mortgage:

  • Pay off an existing mortgage
  • Spruce up the house
  • Go on vacation or buy a new car
  • Pay off credit cards
  • Set up a college fund
  • Pay for in-home care

    I have personally helped senior homeowners pay off their mortgages, get out of bankruptcy, or redo their kitchen. Some have used the funds for in-home care or to even buy another house.


    "We love our Reverse Mortgage. For the first time in years we feel free and unburdened. And that means everything to us."

Reverse Mortgage Parameters, Options, and Benefits

Here are some of the specifics and parameters of the Reverse Mortgage:

• No monthly mortgage payments as long as you live in the home, pay your  taxes and homeowners insurance, and maintain your home.

• Tax free proceeds - will not affect income taxes
• Insured by the Federal Housing Administration

• Retain Ownership of your home
• No health or asset requirements
• No impact on Medicare or Social Security benefits

• Plans: Choose from either a monthly payment (TENURE), line of credit, lump sum, or a combination of all three.  YOU and you alone choose how you would like to receive your money. After you close, you can change how your money is disbursed for a small fee.

Currently, the lending limit or Maximum Claim amount on all Reverse Mortgages by HUD is $679,650. Now that doesn't mean you receive that ENTIRE amount. It's all dependent on age and other factors such as interest rates and home value. HUD protects borrowers from wiping out all their equity with a Maximum Claim Amount or lending limit.

Frequently Asked Questions

Would you like to know the basic questions potential borrowers are asking? Click below, and perhaps your questions will be answered.

Questions That Need Answers

What if I have a mortgage balance?

As long as there is enough equity in your home, you should be able to qualify for a Reverse Mortgage. Get a free quote from a Reverse Mortgage Specialist!

How much cash out can I get from a Reverse Mortgage?

As long as there is enough equity in your home, you should be able to qualify for a Reverse Mortgage. Get a free quote from a Reverse Mortgage Specialist!

Can my spouse remain in our home after my passing?

As long as there is enough equity in your home, you should be able to qualify for a Reverse Mortgage. Get a free quote from a Reverse Mortgage Specialist!

How do I receive a free consultation?

Your are entitled to a free reverse mortgage quote and a free consultation either in person or by phone in order to determine how much money you qualify for and which program fits your needs. Contact Kathie Adler to receive a no-obligation reverse mortgage comparison. 

Why do I have to complete HECM counseling?

HECM Counseling is an important safeguard to the Reverse Mortgage program. HUD required counseling by a HUD approval HECM Counselor provides you with a HECM Certificate so your loan can go forward. Call Kathie Adler to receive a list of HECM counselors in your area. 

Why is it called a Reverse Mortgage?

A Reverse Mortgage is the reverse of a traditional mortgage and is a rising debt loan because no payments are made throughout the life of the loan. Traditional mortgages are paid monthly thereby reducing your debt to the lender. The actual name HECM means Home Equity Conversion Mortgage.

It's as easy as beaking the piggy bank.

Use Your Own Equity and Enjoy Life

Your home's equity is waiting for you to use it for your benefit.  Why not let your home pay for your retirement? I have spoken with many senior homeowners who just didn't have enough money for retirement and were thrilled to use their equity for a variety of things. Using a reverse mortgage as a retirement planning tool can change the way you look at retiring.  You don't do a reverse mortgage out of desperation, you do it because you realize there is untapped cash under your roof that you can use to enjoy life even more.

Safeguards to Protect You

No pre-payment penalty, reverse mortgage counseling, government insured and regulated by HUD, FHA mortgage insurance to protect you, 60% cap on proceeds for the first year, non-recourse loan-- you can never owe more than the home is worth, protection for non-borrowing spouses/underage spouses, 3 Day Right of Rescission just in case you change your mind after closing.

A Program That Changes Lives

For over thirty years, Reverse Mortgages have been changing lives for the better. Senior homeowners have been able to age in their homes and live more comfortably by utilizing a reverse mortgage. Borrowers have been able to pay off current mortgages or travel or do a host of things with the money they receive. You can supplement your income and find the time freedom you desire. And with some homeowners, I have been able to help them out of bankruptcy and even foreclosure.

Non Recourse Loan

You can never owe more than your home is worth, and you probably will not pay the loan off in your lifetime. Your heirs are also not responsible for the debt.  Assets or bank accounts can never be attached to pay off the loan, no matter how much money you have. The house alone stands for the debt.   A reverse mortgage is a loan in which a lender may look only to the value of the home for repayment; no other assets may be attached if the loan balance grows beyond the mortgaged home value.  If you sell the home to repay the loan or if all borrowers pass away, you or your heirs will never owe more than the balance of the reverse mortgage or the value of the property, whichever is less.

"A nonrecourse debt is a type of loan secured by collateral, which is usually property. If the borrower defaults, the issuer can seize the collateral but cannot seek out the borrower for any further compensation, even if the collateral does not cover the full value of the defaulted amount." (Investopedia)

What is Required to Obtain a Reverse Mortgage?

There are certain parameters and requirements for obtaining a HECM / Reverse Mortgage. Click the link below to learn more and obtain information.

CARING, PROFESSIONAL, PRIVATE. SERVICE AFTER YOU CLOSE.

GOT QUESTIONS?

REVERSE MORTGAGE HELPLINE - Answering Your Questions about Reverse Mortgages
KATHIE ADLER, SENIOR REVERSE MORTGAGE SPECIALIST - RESIDENT OF LONG ISLAND FOR OVER 50 YEARS - Member of Sun Suffolk www.SunSuffolk.org) - and NRMLA

KATHIE ADLER'S NMLS ID: 65780  - For the NMLS Consumer Access Site, go to: www.http://nmlsconsumeraccess.org
 
Advisors Mortgage Lindenhurst branch: 1045 Route 109, Lindenhurst, NY 11757 -   NMLS 301453
 

Contact Kathie Adler 631-804-9044

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