Private homes are typically the most valuable asset we hold. Its sale when transitioning to a senior community is often the best and most ready source of revenue. When one partner needs assisted living, and the other partner chooses to remain in the home, reverse mortgages may make sense. They allow a homeowner to stay in the home while tapping into the equity the couple has built. Mortgage holders get tax free cash flow as a loan against that equity, a loan that doesn’t need to be repaid until the house is sold or the owner moves out or dies. Reverse mortgages do not affect Medicare or Social Security benefits.
Be sure to vet lenders and their terms thoroughly before making any decision. The HUD’s website will help you locate a FHA-approved, reputable lender. Click here for more information through HUD.
