Reverse Mortgage Facts
Craig Schweiger explains some reverse mortgage facts you should know when considering a reverse mortgage.
How can I use my home’s equity to increase my cashflow by $2000 per month?
How best can seniors take advantage of this equity that they have? For a senior that has a mortgage, is currently making payments on a first mortgage, maybe even a first and a second mortgage, and it’s just become a bit of a nuisance because as their income may have gone down or has become fixed, they still have to make these mortgage payments. And the benefit of a reverse mortgage is that any mortgages against your home have to be paid with the reverse mortgage. This is accessing the equity and the secondary benefit is there are no payments required to be made on a reverse mortgage. So by paying off any liens against the home, a first, maybe even a first, and a second mortgage, one of the immediate benefits is you will stop making payments on that mortgage. Working with some clients that are on social security and they live in a very nice house and they want to continue to live in that very nice house, their goal is to pay off their mortgage. And the ability to eliminate that payment is increasing their cashflow by $2,000 a month and will allow them to live more comfortably in their home.