What is Home Equity? Why do Reverse Mortgage Brokers in Florida need to know about yours?

Are you 62 years old or older and own your home? Do you struggle every month to make your budget stretch far enough to pay all of your expenses? If this describes you, a reverse mortgage may be right for you. Sometimes you can be eligible for a reverse mortgage even if you still owe an original mortgage on your home. It all comes down to equity. What is home equity? Why do reverse mortgage brokers in Florida need to know about yours? In order to answer that question one should know the basics of a reverse mortgage loan. There are some slight differences between a reverse mortgage and a typical home equity loan. Simply put, equity is the fair market value of a home minus the amount still owed on the home. For example, if you bought your home for $150,000 and you have been making mortgage payments for many years, you may still owe around $75,000. That means you would have about $75,000 (or about 50%) equity in the home. If you are lucky and property values have increased in your area over time, you may even have more equity because your home is worth more now than when you originally purchased it. No matter what, the amount of equity is the amount your home is worth minus they amount you owe. Reverse mortgage brokers in Florida need to know how much equity is in your home to be able to determine if you are eligible for a reverse mortgage. Typically, a reverse mortgage is only possible if one has at least 50% equity in their home.

Shop Reverse Mortgages

At Shop Reverse Mortgages you can easily find out if you qualify for a reverse mortgage and find a broker that meets your needs. Visit Shop Reverse Mortgages at shopreversemortgages.com to find out more about reverse mortgages and how they can help you stretch your retirement budget. There are some things to remember when considering a reverse mortgage. First of all, you must be at least 62 years old to qualify. You also must have a home that has a substantial amount of equity. In addition, the reverse mortgage must be the first and only lienholder of the property. This means that if you only have about 50% equity in the home, the reverse mortgage may only be used to pay off the existing mortgage. You may be asking yourself how this will help you out when it comes to your financial situation. The beauty of a reverse mortgage is you get to retain ownership of your home as long as you are living in the home, and you don’t have a monthly mortgage payment! This alone can free up hundreds of dollars each month that can be used for other essentials in your budget. You can still live independently and not become a burden to your loved ones. Retaining your independence in retirement is very important. Just think how not having a house payment can ease your financial constraints! If you own your home outright or have a larger amount of equity, you are in an even better situation. That equity can go to work for you. You will no longer have a mortgage payment, and you can receive the proceeds of your equity in one lump sum or in installments. This can be an even bigger bonus to your budget. You can also use the money however you wish without jeopardizing your entitlements or tax situation as proceeds from a line of equity are not considered earned income.

Learn More

Still have question? Shop Reverse Mortgages can answer all your questions. Read more just by visiting website where you can view helpful articles and a simple FAQ’s page that can get you started on learning all you need to know about reverse mortgages. When you are ready to take searching for a reverse mortgage to the next step, simply call 888-547-8308 or fill out the contact information under the “contact us” tab. The specialists at Shop Reverse Mortgages are standing by to assist you every step of the way to regaining your financial independence.

How Age Affects your Reverse Mortgage

People that are 62 years old or older are able to take out a reverse mortgage on their home. Are you 62 years of age or older? Are you considering a reverse mortgage on your home? If you meet the requirements, the idea should not be dismissed. Take some time to consider your current situation and the benefits that these kind of mortgages can offer you and your loved ones. There are many reasons for taking these kind of mortgages. Some people get a reverse mortgage on their home to pay off the remainder of the mortgage on their home. They do this to get rid of their monthly mortgage payment so that the money can be used to pay for other things.

Envision how nice it must be to not have to worry about making that burdensome monthly mortgage payment. Thing of all the other things you wish you could be spending that money on. You could finally take that vacation you wished you could go on, or pay the college tuition for a loved one to help them with their future. You could also have the reverse mortgage paid out to you monthly in order to help you pay your monthly bills or medical expenses.

How a Reverse Mortgage Works

You may think this sounds too good to be true, but once you understand how these mortgages work you will understand why so many people take these kind of mortgages. A reverse mortgage is a loan that is available to homeowners that are 62 years old or older. The loan allows home owners to convert a portion of the equity in their homes into cash. One of the benefits with this kind of loan is that you do not have to own 100% of your home, there can be a mortgage on the home still. This is how people are able to use this kind of loan to pay off their existing mortgages. If you decide to take a reverse mortgage on your home, you can continue to live in your home without making monthly payments to a lender like with a traditional mortgage. Instead, the lender will make payments to you! There are different payment options available, you could take one lump sum, or you can opt to be paid out in increments.

You must be thinking, if it is a loan when is it actually paid back? With a reverse mortgage the borrower is not required to pay back the loan until the home is sold or vacated. If you are considering this kind of loan but you don’t believe you will remain living in your home for a long period of time, you should consider other loans available to you. The way these loans work is simple, it works because lenders make loans and then earn interest and fees on them which is paid back when the house is sold or vacated in the meantime the lender puts a lien on the deed in order to guarantee that it will eventually get paid back for the money it loaned the homeowner, in return, the borrower gets cash, keeps the title of the home in their name and continues to live in the house.

Using a Reverse Mortgage to Pay off your Existing Mortgage

A lot of people are taking out reverse mortgages on their home, so they can pay off their existing mortgages. People are doing this because it gets rid of their monthly mortgage payment completely. By doing this the borrowers no longer have to worry about a monthly mortgage payment and they have more disposable income so they can do the things that they want to be doing. Borrowers can use the funds to pay for necessary items that they couldn’t afford before or they can use the money to invest in things they feel strongly about. The borrowers are only required to continue to pay the taxes on the property, the homeowners insurance and maintain the home according to federal housing administration requirements. Many people over look this, but the interest rates offered on these kind of loans are usually lower than the interest rates that are offered on traditional mortgages and home equity loans.

Obtaining a Reverse Mortgage

Reverse Mortgages are becoming very popular and they are becoming very popular for a reason. They really are a fantastic option when you are ready to unleash the equity in your home in order to increase your funds. The loan is designed to increase the borrower’s disposable income, which can then allow them to do the things they enjoy, without having to plan around monthly mortgage payments or sky high credit card bills. Another thing that should be mentioned is that these loans are generally easy to obtain. A great place to go for help with obtaining a reverse mortgage on your home is ShopReverseMortgages.com. They will help you find a reverse mortgage lender in Miami, FL. Reach out to them and they will put you in contact with one of the specialists on their team. They have extended hours which makes it easy to get in contact with them. They are available Monday-Friday: 9 a.m. to 8 p.m. EST and Saturday – Sunday: 12 p.m. to 3 p.m. EST. They have an incredible team of specialists that are very experienced with these kinds of loans, and they work with you to help you take advantage of what a reverse mortgage can offer you. View their website today and shop reverse mortgages in Miami, FL.

HECM for Purchase with a Reverse Mortgage Miami

HECM stands for Home Equity Conversion Mortgage. This kind of loan is also known as a Reverse Mortgage. These loans allow homeowners to convert equity in their home into cash. Have you wondered if a Home Equity Conversion Mortgage is right for you? Do you know what the requirements are for this kind of loan and how it works? This article will explain how these loans work, the requirements of the loan, the benefits of reverse mortgages and where to go if you decide a reverse mortgage is right for you.

How a Reverse Mortgage Works

As with any kind of loan you take, you should always understand how the loan works so that there are no surprises later on. Once you understand how these mortgages work, you will understand why so many people are attracted to these mortgages. A reverse mortgage is a loan that is only available to homeowners that are 62 years old or older. The loan was designed to allow these homeowners to convert a portion of the equity in their homes into cash. Take note that the homeowner does not have to own their home in full, there can be a balance owed to a lender which is why people are able to use this kind of loan to pay off their existing mortgages. If you take a Home Equity Conversion Mortgage on your home and you pay off the existing mortgage, you continue to live in your home as you normally had, and you no longer have to make monthly mortgage payments or payments on the loan like with a traditional mortgage. Instead, the lender make payment(s) to you. You can choose to receive one lump sum payment or you can opt to be paid in monthly installments. With these kind of loans, you are not required to pay back the loan until the home is sold or if it is vacant.

These loans work by a lender loaning you money that is equivalent to the equity in the home. The lender will charge interest and fees in addition to the principal amount of the loan. The borrower pays none of this back until the house is sold or vacated in the meantime the lender puts a lien on the title of the house so that it can guarantee that it will at some point be paid back for the money it loaned the homeowner. In return the homeowner gets cash, keeps the property in their name, continues to live in the house and it required to maintain the house the FHA standards. This is because HECM loans are insured by the Federal Housing Administration.

Requirements for HECM Loans

You must be a homeowner, and you must be 62 years old or older. You must own your property outright or have paid down a considerable amount, so that there is equity to be borrowed against. As a borrower, you must live in the home and it must be considered your primary residence. There is a financial eligibility criteria that needs to be met which has been established by HUD.

You would be required to continue to pay the taxes on the property, pay for homeowners insurance and you would be required to maintain the home according to FHA requirements.

Benefits of HECM Loans

If you meet the requirements take some time to consider if this is the right loan for you. There are several reasons that so many people are taking these kind of mortgages. Some people get a reverse mortgage on their home to pay off the rest of a mortgage taken out on their home. By doing this they no longer have a monthly mortgage payment to worry about and are able to use those funds to pay for other things of their choosing. They do this to get rid of their monthly mortgage payment so that the money can be used to pay for other things. Loan proceeds are used to pay off current mortgages, medical bills or health related expense, to living expenses that were difficult to pay before, assisted living or in-home care, amazing vacations, college tuition for grandchildren or just saved in case expenses pop up that had not been planned. Another benefit offered by these kind of loans is that the interest rates are typically lower than those offered on traditional mortgages.

Obtaining a Reverse Mortgage

Shopreversemortgages.com is the best place to go when you decide a reverse mortgage is right for you. Reverse Mortgages are in high demand because they allow you to borrow against the equity in your home at a low cost and with no payment required until you move out of the home. ShopReverseMortgages.com is the link to the best reverse mortgage lenders in Miami, FL. They are available Monday-Friday: 9 a.m. to 8 p.m. EST and Saturday – Sunday: 12 p.m. to 3 p.m. EST.

How to Be Prepared When You Shop Reverse Mortgages in Fort Lauderdale

You might have heard of a reverse mortgage, but you’re not quite sure what it is, if it’s right for you, or how you can prepare yourself to figure all of that out. The first step in preparing yourself to shop reverse mortgages is doing your research to understand exactly what one is and why it may or may not apply to you. A reverse mortgage is a low interest loan for senior citizen homeowners that works in a way where the home equity is used as collateral. In short, the loan amount is a percentage of the home’s value (as determined by the age of the youngest homeowner). People seek reverse mortgages for many reasons, but perhaps the biggest is that instead of making payments to your lender on a monthly basis, they’re sending you part of your equity back in cash on a monthly basis. They’re designed to help you supplement your income with the equity that you’ve built up over years. For people who have a low monthly income (like many in retirement), this can be a huge life saver in terms of day to day living and regular cash flow. Now that you understand exactly what a reverse mortgage is, it’s time to examine how you can prepare yourself to secure a great one for you.

Consider Age

Age is a huge factor when it comes to securing a reverse mortgage. Not only is age a qualifying factor, but it also determines eligibility in how much you receive and at what rate you receive it. First and foremost, you must be 62 years old or older to qualify for a reverse mortgage. Just because you do qualify for one with your age doesn’t make it a great situation, however. As a general rule, the older the buyer, the more in proceeds they’ll receive. Other eligibility factors must be taken into consideration, though, as well. To determine eligibility, three things are considered: age of the youngest borrower, home value, and current interest rates. The amount of money available for a borrower is determined using principal limit factors (PLF’s), which provide the percentage of the maximum claim amount allowable, given the age of the borrower. The reason that older borrowers typically receive more money is because their remaining life expectancy is, more often than not, less than that of a younger borrower; and since payments will come until the borrower is deceased, HUD expects that it will have to pay more over the life of the loan with a younger buyer. Bottom line? If you can hold off a few years, you might be looking at a significantly larger pay out at a cheaper rate than if you jump on it right at 62. So, if you’re considering a reverse mortgage, prepare by using a mortgage calculator that factors in your age.

Check Your Credit and Equity

Every lender will check your credit first and foremost before ever discussing anything else in terms of approving a loan. If your credit history isn’t great, or if you have loads of debt to pay off, you might not qualify for a reverse mortgage. If you do, it’s likely to be incredibly expensive. Your credit is a strong indicator of whether or not you’re a good candidate for a loan because it tells the bank all about your history in paying down debt. Checking your free credit score is a great way to prepare for talking to someone about a reverse mortgage, but be flexible to back off the process for a few months if need be. Why? Even just a few months of focusing on credit score improvement – paying down debt – can make a huge different in terms of what you’re eligible to receive.

The other thing you should check is your equity. Have you been in your existing home long? Do you own it, or are you still making payments? You need to make sure you have a significant amount of equity saved in order to use the equity as collateral for the loan. If you still owe a lot on your mortgage, there are definitely other financial options that would benefit you, other than a reverse mortgage.

Consult with Shop Reverse Mortgages Fort Lauderdale

The last way to prepare before you shop reverse mortgages in Fort Lauderdale is to visit the web site. The friendly professionals at Shop Reverse Mortgages Fort Lauderdale will be thorough in explaining your options online, or over the phone. A free consultation will kick off the process, and they’ll do all of the leg work for you in finding the best rate for your situation. Not quite ready for a consultation? Just browsing the web site will be a huge time saver and informational way to proceed in preparing. Generally speaking, shopping around for a reverse mortgage can be quite the headache when you venture from lender to lender in an effort to find the best quote. Visit our website, you’ll be able to enter in a zip code and other pertinent information to generate a list of the best lenders for you to consider without ever talking to anyone. This makes preparing to shop reverse mortgages much easier, much more tangible, and more convenient than ever before.

Preparing to shop reverse mortgages is a vital part of the process. In order to do it successfully, make sure you consider your age, check your credit score and equity, and then consult with Shop Reverse Mortgages Fort Lauderdale.

Learn More About FHA Loan Requirements

Loans give people the option to borrow money when they need it most. Reverse mortgage Florida allows people to borrow on the equity of their home so they can have an extra source of disposable income. FHA loans are a mortgage insured by the Federal Housing Administration, and how it works is the borrower with an FHA loan pays for the mortgage insurance. This in turn protects the lender from a loss if for any reason the borrower defaults on the loan.

How Do I Qualify for a FHA Loan?

FHA loans, or Federal Housing Administration, provide mortgage insurance on loans given out by FHA approved lenders. If the borrower defaults on the loan, the lender is protected from loss. The government is not the lender in this case, but it does insure the mortgage on the part of the borrower. FHA loans are a good option for many homeowners who may be looking to refinance their existing mortgage. Home buyers who need low down payments or have low incomes may not meet the qualifications for other mortgages. FHA loans are also appealing to lenders because they’re protected if the borrower defaults on a payment.

There are several requirements that need to be met in order to quality for an FHA loan. Shop Reverse Mortgages has helped to educate many customers about understanding how their loans work, and helping them to find the best deals.

Minimum Credit Score Requirement

One of the most important parts of the loan application is the credit record of the borrower. In June 2015, borrowers who have a credit score of at least 580 can qualify for an FHA loan and borrowers who have a credit score between 500 and 579 may be eligible for FHA financing. They may only qualify for the FHA financing though if their loan to value ratio, or LTV, percentage for a home loan compared to the value of the company is 90% or less. People applying for a home loan with a co-applicant will have both of their credit scores taken into consideration and the decision will be based on the lower credit score.

Down Payment

FHA loans are a good option for entering into the housing market for the first time, but future borrowers will need a down payment for the home they want. FHA loans do require borrowers to make a down payment of 3.5% on the purchase price of the home. First time home buyers enjoy this benefit since it allows them to invest in a home without having to put down a large lump sum of cash. At the beginning of 2015, insurance premiums were brought down from the 1.35% to .85% for the loan amount.

FHA Income Requirements

Some lenders do require the borrower to have an income requirement to qualify for an FHA loan. Borrowers may need to provide information to show they meet the income requirements to prove they can carry the financial monthly debts and obligations, along with being able to cover the monthly payment and insurance premium for the home loan they’re applying to. On January 1, 2013, applicants may also require a debt to income ratio too that cannot exceed 43%, but they may be approved manually in some cases with a DTI (debt to income ratio) that is 45% or higher.

CAIVRS Needed

Another important requirement to qualify for an FHA loan is to have a clear CAIVRS report, better known as Credit Alert Verification Reporting System. The system is used by the Federal Government system to track people with delinquencies or who have a default or a foreclosure for money they owe to the government. This also includes federal student loans, Small Business Administration (SBA) loans, and other FHA loans too.

If the delinquency is paid in full, or is under a federally approved repayment plan, the borrower may still be eligible to apply for an FHA loan.

Type of Residence

The FHA loan requirements does require minimum property standards be met that are very strict when it comes to the living conditions and safety. The property or properties must meet the state building codes, national building codes, and be marketable for single family units. This may include single family units, condominiums, duplexes, and townhouses. FHA loans are also available for refinancing and manufactured mobile homes.

Shop Reverse Mortgages works with a large network of banks to bring their customers the best deals and choices for their loans. They believe in making sure their customers have options available to choose the best loan for their situation and to move forward in their financial future. To learn more about the company and the services that it provides

What is a Non-Recourse Loan for a Reverse Mortgage in West Palm Beach?

Living in West Palm Beach can be difficult if you’re a senior on a fixed budget, and paying off a mortgage can make it nearly impossible. If you’re beginning to struggle to make your payments and still live the retired life you deserve, maybe it’s time to look into getting a reverse mortgage. However, what is a non-recourse loan, and why have you heard it so much when reading about a reverse mortgage in West Palm Beach? After all, if you’ve been searching the internet about reverse mortgages, chances are you’ve heard the term non-recourse loan.

What is a Non-Recourse Loan?

A non-recourse loan is actually a reverse mortgage. A non-recourse loan is the type of reverse mortgage you most likely would prefer to have, since it has many benefits for the family getting the loan. Most reverse mortgages are insured through the Federal Housing Administration, and are commonly referred to as Home Equity Conversion Mortgage. A HECM is technically a loan against your home, allowing you to use your home’s equity to get a loan and stop mortgage payments.

When a HECM is considered a non-recourse loan, no one will expect the family to pay the difference when they finally sell the home. If you get a loan, and your family sells the house after your death to a smaller amount, they won’t be expected to pay back that difference, the Housing Administration does!

Is it Right For You?

A reverse mortgage isn’t right for everybody. Though it can seem great, a reverse mortgage doesn’t completely absolve the family of all debts, and it can require your descendants to choose between either paying off the loan or selling the house once you’ve passed on. However, if you’re planning to move out of your home in the next 3 years, a reverse mortgage may not be the right choice for you. There are many factors in whether you qualify, including being over the age of 62 and having a single-family home, condominium, or town house. There are also a few upfront costs that can be costly for a fixed budget, and you may have to speak to a specialist about whether you’re financially able to go through with the process of a reverse mortgage. The house must be your primary residence, and you should have gotten through most, if not all, of the mortgage you opened buying the home in the first place. If not, there are still some lenders who will help you with a reverse mortgage, though the field is limited.

Where Can You Go?

Shopping for a reverse mortgage in West Palm Beach can be difficult, especially if you’re on your own. Calling various insurance agencies and going to talk with lender after lender can be exhausting, and can be more than you want to deal with. If you want to find the best reverse mortgage options, heading to a market that considers multiple lenders might be the best choice for you. Shop Reverse Mortgages is a website that has specialists lined up to speak to you personally, and is a market connected to many reputable lenders. With Shop Reverse Mortgages, you can see multiple options, along with different interests and benefits, all in one place. They have people who can speak to you one-on-one about your situation and what you’re looking for. If you have any questions, they can be right there to help you out.

Shop Reverse Mortgages can help you find the mortgage you need without any tricks or lies. Some lenders may specifically hide a better option or raise their interests to get a better commission from you, while others might just not know the best options out there. You need experts who can see all the available lenders out there to find the best loan for you.

If you have any questions, you can contact their experts on their website or their phone lines, and they’ll be more than willing to give you advice specific to your living situation. They’ll be able to give you more information about whether you can expect a non-recourse or recourse loan, and which you’d be more qualified for.

Shop Reverse Mortgages has been working hard for years to remain completely objective when it comes to the lenders, and only offers what they think to be the best fit for you. You’re under no pressure to choose the options that they can find for you, though it’s rare to find a better reverse mortgage out there. It’s not too late to apply for a reverse mortgage, and it could change your life for the better. Don’t let your golden years be filled with money concerns, utilize your beautiful home to its maximum equity potential. Contact Shop Reverse Mortgages today for the chance at a carefree retirement!

Getting the Most of Your Reverse Mortgage in Florida

A reverse mortgage is a special type of home loan for homeowners 62 years or older that requires no monthly mortgage payments. While borrowers re still responsible for property taxes and homeowner’s insurance, reverse mortgages allow elders to access the equity they have built up in their homes and defer payment of the home loan until they die, sell, or move out of the home. Since there are nopayments on a reverse mortgage, the interest is added to the loan balance each month. The rising balance can eventually exceed the value of the home, especially in times of declining home values of if the borrower lives in the home for many years. The upside to this is that the borrower is usually not required to pay any loan balance in excess of the value of the home. Reverse mortgages generate varying opinions. Some economists feel that they allow the elderly to supplement their income while regulatory authorities argue that reverse mortgages are complex, difficult to understand, and open the doors to fraud and other scams. Because of these potential problems, it is widely suggested that people seek assistance when considering this process, and one of the best ways to shop reverse mortgages is Florida is by going to www.shopreversemortgages.com/florida/.

The Details

A reverse mortgage can provide income to pay off your original mortgage, supplement your income, or pay for important things like healthcare expenses. Instead of paying the mortgage company, they pay you as the equity on your home is turned into cash. The money that is received is usually tax-free which should not affect Social Security or Medicare benefits and does not have to be paid back as long as you live in your home. While a reverse mortgage can be very beneficial, it is critical to understand the costs and responsibilities that come with it to make sure it does not turn into a financial nightmare. The fees and closing costs are higher than those with a traditional mortgage, you will owe more over time as the interest builds up (variable interest rates can make this an even more expensive consideration), the interest is not tax-deductible, and other costs toward the home must be paid such as property taxes, insurance, utilities, maintenance, and major repairs.

Navigating the Waters

A reverse mortgage is a complicated process, as is determining whether or not taking one out is financially feasible. It is highly recommended that you seek assistance while making this decision, and reverse mortgage companies in Florida are happy to help you make this decision. ShopReverseMortgages.com sets itself apart as their business model was built around helping customer find the best options when it comes to a reverse mortgage. Dealing with one bank is a thing of the past as this company has a large network of banks that compete for business which in turn means lower rates and costs for customers. This business also makes a firm point to share all of the pros and cons of a reverse mortgage with customers to deliver not just great service, but to maintain its ethical standards. In fact, customers have 72 hours after a reverse mortgage to change their minds, a benefit greatly appreciated by Florida residents.

ShopReverseMortgages.com also strives to provide peace of mind for their customers by making it very clear that the federal government also insures reverse mortgages under the FHA. Once the mortgage is closed, homeowners can elect one large lump sum from their equity, choose to receive monthly payments, or use the funds as a line of credit. This company is also an informative organization therefore prepared to discuss all of the pros, cone, and counseling/advising requirements necessary to begin the application process. If at any time a customer does not want to move forward with the loan process, they are told they are under no obligation to proceed. It’s all about providing as much information as possible so people can make a fully informed decision and shopping around dozens of banks, lenders, and brokers is another way ShopReversemortgages.com helps their customer make good decisions. By getting several different offers, customers have options to choose from to make sure they get the best deal possible.

So for those who are “house rich but cash poor” a reverse mortgage might be a smart investment. A financial counselor will review all of the monetary details with you to make sure the process is completely clear. This person can also help you set up a financial plan for paying property taxes on time, keeping up with the homeowner’s insurance, maintaining the home, and emphasizing that the home must be the customer’s principal residence. After this initial counseling, customers can decide whether or not they want to proceed with a reverse mortgage. If so, ShopReverseMortgages.com is the perfect next step.

What Happens When Your Reverse Mortgage Funds Are Exhausted?

A reverse mortgage or home equity conversion mortgage (HECM) is a type of home loan that allows homeowners age 62 and over to use part of their home equity, and convert it into cash. The repayment of the loan is deferred until the homeowner dies or moves out of their home. The interest for the loan is added to the loan balance each month.

But what happens when your reverse mortgage funds are exhausted? First, know that if you outlive your funds, you’ll still be able to live in your home. Second, you may want to get a new home appraisal to determine its value. If the value has gone up, you could get extra funds.

Finding a Reverse Mortgage in Florida

But this is just one of many questions that people shopping for reverse mortgages may have. If you are shopping for a reverse mortgage in Florida, then you should see how ShopReverseMortgages.com can help you.

Unlike most other reverse mortgage companies in Florida, Shop Reverse Mortgages was created in order to help you find the best possible deal on a reverse mortgage. The company has a large network of banks that they deal with on a regular basis. Because of this, they have the clout to make the banks compete for your business!

In addition, Shop Reverse Mortgages has an experienced and professional team of specialists that can help answer your questions as well as shop for reverse mortgage companies in Florida for you. You’ll quickly learn about the benefits of using them. For example, they provide a free consultation and their services are fully transparent so you always know exactly what you are getting.

The Benefits of a Reverse Mortgage

Reverse mortgages offer many benefits. For example, you can receive a lump sum of cash or you can opt for payments via installments, both of which are tax-free. You can even mix and match these options to create the plan that is perfect for you. And, you can use the money however you wish; there are no limitations. In addition, a HECM reverse mortgage in Florida is federally insured and backed by the U.S. Department of Housing and Urban Development.

Also, rest assured that your house and the title to it remains completely yours; single family homes, condominiums and town homes all qualify for reverse mortgages. So, for example, if you decide to sell your home at any time, you are free to do so. You will, however, have to pay back the entire reverse mortgage along with any additional funds such as interest payments. Also, while you have a reverse mortgage, you are still required to pay your property taxes and homeowner’s insurance as well as maintain your home.

And if you have buyers remorse after you close on a reverse mortgage, you are not stuck. All reverse mortgage companies in Florida allow you to change your mind up to 72 hours after you close on the reverse mortgage.

The Drawbacks of a Reverse Mortgage

As with any type of loan, there are some things to watch out for when getting a reverse mortgage. For example, like all mortgages, reverse mortgages have upfront fees. If you plan to leave your home within three years, a reverse mortgage may not be a good decision. Fortunately, the fees are usually rolled into the loan so you won’t have out-of-pocket expenses.

Another potential downside is the requirement to pay back the loan if you should permanently move out of your home. This may not sound like a problem, but it could be if you need to pay back the loan while at the same time paying for a full-time care facility.

A third downside to a reverse mortgage is the effect it has on your estate. A reverse mortgage will almost always decrease the equity in your home, which will leave less money for your heirs.

Shop Reverse Mortgages can not only help you understand the benefits of a reverse mortgage in Florida but they can also help you understand, as well as navigate, the drawbacks. They can help you find the most appropriate reverse mortgage companies in Florida for your specific needs.

Taking the Next Step

So, your interest is peaked. It is time to take the next step. And that means it is time to learn more about reverse mortgages to find out if one is a good option for you.

Shop Reverse Mortgages has a variety of information on their website including FAQs, blogs, and links to additional sources of information. They have a learning center as well that provides the most current information available on reverse mortgages in Florida.

In addition, you can always call Shop Reverse Mortgages to speak one-on-one with a knowledgeable specialist who can answer any questions you may have. Their professionals are also ready to analyze your current situation and provide a rough estimate on the amount of money you may be able to get from a reverse mortgage company in Florida. Remember, Shop Reverse Mortgages has excellent relationships with the top banks in operation today, including Bank of America, Wells Fargo, JP Morgan Chase, HSBC, Citi Bank and TD Bank. This means better rates for you on your potential loan from one of the reverse mortgage companies in Florida.

Visit the website to see how Shop Reverse Mortgages can help you find a reverse mortgage company in Florida today and get you the cash you need quickly and efficiently!

What Happens to the Spouse of a Reverse Mortgage Holder?

Reverse mortgages are a great way for senior citizens to get ahead during the later years in life. One of the biggest problems these days is finding the funds for retirement, and when it comes right down to it, many elderly individuals find themselves relying on family members or even continuing to work past their retirement age. That being the case, taking out a reverse mortgage Florida might very well be one of the best things that you can do, for a few reasons. First of all, it gives you the monthly paycheck you need to survive. Secondly, you will be able to remain in your home even after the payments run out. That being said, you have plenty of opportunities to make a decent living an retire comfortable so long as you qualify. When you shop reverse mortgages in Florida however, the big question you might have, is what happens to your spouse when you pass away?

Can you Leave your Spouse off of the Reverse Mortgage? Why?

If you leave your spouse off of the reverse mortgage, they stand a chance of being evicted from the home if you should die before they do, to put it bluntly. So, in that case, why would you leave them off? In the past, it has been established that the borrower of a reverse mortgage will receive greater benefits the older they are. If the borrower has a younger spouse, however, including them on the loan will lower those benefits. This is a Catch-22 situation that was cleared up by the Bennett ruling in 2013 in which the supreme court ruled that surviving spouses will be able to stay in the home, regardless of their inability to repay the loan immediately. In fact, it was found that the original rule set forth by lenders violated federal law due to the fact that lenders made certain guarantees.

Considering the Rights of the Surviving Spouse

The surviving spouse has certain rights under federal law, even if they are not on the actual loan. It has been determined that the ‘homeowner’, as a term, includes the spouse of the homeowner. Something important to note is that the contract wording states that the payment becomes due when the mortgager passes away, and this is defined as the borrower listed on the mortgage itself. This logic was what led to the evictions, which caused plaintiffs to call into action a federal statute which prohibited this practice. As a result of this court case, a number of updates to the HUD rules were put into effect which include:

According to HUD policy, non-borrowing spouses may now remain in the home even after the original HECM borrower dies. Once this happens, the loan payment will be deferred for the spouse so long as the following remains true:

-Spouse is married to the borrower at the time of the loan (cannot marry afterward and claim the benefit)

-Spousal status is disclosed

-The non-borrowing spouse must have lived in the residence, claiming it as a primary residence. In addition to that, they must be prepared to keep living in that residence for the foreseeable future.

-The non-borrowing spouse must be prepared to meet the obligations in the loan document.

-Spouse needs to be named in the loan documents

Security after Death

One of the greatest myths perpetuated regarding reverse mortgage brokers in Florida is that once the primary borrower dies, the house will be sold, and the spouse will be forced onto the street. While there was some precedence that rationalized this line of thinking in the past, it is no longer practiced, and all spouses can feel perfectly safe with this type of mortgage, even if their name isn’t on the final paperwork.

Once again, the senior years are very difficult. With social security in question and the availability of retirement funds sometimes being in question, having a little extra help certainly don’t hurt. That being the case, now would be a great time for you to start looking intoreverse mortgage lenders in Florida to make sure you’re ready for retirement.

There are many different types of loans that you might consider when you are getting ready to shop reverse mortgages in Florida, and it will be very important for you to go over your options. If the HECM loan does not meet your own particular need, then you might want to consider a third party loan, or even a limited loan that allows for only very specific uses of the money. It all comes down to what your needs are and most importantly, what it is going to cost you up front to get the job done. The sooner you find out, the better, the sooner you will have the money you need for a happy retirement. It’s time to shop reverse mortgages in Florida and give yourself the advantage you need.

In retirement, finding the money you need can be difficult, making it necessary for you to shop reverse mortgages in Florida, but what happens to your spouse once you pass?