Brighter Futures

Making a Reverse Mortgage Work for You

On this page we are going to offer very basic information about Reverse Mortgages.  You will find brief, concise information which answers the questions we most often encounter.

Reverse Mortgage Fast Facts

• All borrowers must be 62 years or older
• Borrowers’ retain ownership and occupancy of the home
• No required monthly mortgage payments
• Repayment is not made until the home is sold or the last borrower permanently moves out or passes away
• You will never owe more than the fair market value of your home upon repayment
• No income qualification
• Interest is paid at the time the loan is repaid
• When the loan is due, your heirs have choices – they can repay the loan and keep the house, or sell the home and repay the loan
• Social Security benefits and Medicare are generally not affected by a reverse mortgage – consult appropriate government agencies
• Closing costs and fees incurred can be financed as part of the loan
• All proceeds from a Reverse Mortgage are tax free

What are the possible uses of a reverse mortgage?

• Pay for home repairs and renovations
• Long-term healthcare
• Pay off existing debt
• Healthcare + Prescription drugs
• Pay Taxes
• Your grandchildren’s education
• Travel
• Pay off an existing mortgage
• Buy a boat or summer home
• ALMOST ANYTHING YOU WANT

How much can I get?
Your benefit is calculated using a combination of the following factors:

Your attained age
The Fair Market Value of your Property (Appraisal)
All borrowers statistical Life Expectancy
A property value appreciation rate approximately equal to the rate of inflation
The current and expected interest accrual rate

You may find additional information under our Commonly Asked Questions. If you would like to see what you qualify for you may use our Reverse Mortgage Calculator

Getting Started
If you want to learn how a reverse mortgage will work for you, a loan advisor will visit with you and explain the benefits, features, income options, and costs.