Getting a Reverse Mortgage: Smart Move or Something to Avoid?
As retirement approaches for baby boomers, or as more and more of their parents are stuck in homes they can’t or won’t sell, a growing number of Americans are considering reverse mortgages as one way to supplement their income. Exactly what is a reverse mortgage? It’s a payment that a homeowner receives from the holder of the mortgage, or a third party, in either a monthly or yearly amount or in a lump sum with the amount tied to whatever equity someone has in their home.
Sounds like a good deal, right? Many people seem to think so. In the past eight years, the number of reverse mortgages has grown from less than 8,000 a year to more than 100,000. While this is still a small percentage of the number of overall mortgages that are held in the United States today, it still represents a substantial increase in a type of mortgage that has drawn much criticism because of its high costs as well as the way they have been marketed and sold to aging homeowners.
Post from: Reverse Mortgage Loan Blog
Getting a Reverse Mortgage: Smart Move or Something to Avoid?
