Reverse Mortgage Myths and Truths

93% surveyed say a reverse mortgage had a positive effect on their life As post-retirement life expectancies increase, more and more homeowners over the age of 62 are choosing to supplement their income with a reverse mortgage. ... but reverse mortgages aren't for everyone. > Borrowers must remain living in the home. > They aren't a cost-effective choice if the amount borrowed is relatively small. > They can be costly to set up, and have variable interest rates. Get the facts: Myth: My income tax will go up. Reality: Money from a reverse mortgage is Myth: It's going to make me ineligible for need-based government programs. Myth: Icould get kicked out of my home. Reality: You cannot be forced out of your home as long as taxes and insurance are paid, at least one borrower is living in it, and the home is maintained in reasonable living Reality: not considered income, so it is not A reverse mortgage does not affect your eligibility for Social Security or Medicare. However, for Medicaid, you taxable. must make sure the funds you with- condition. Myth: My credit isn't good enough to qualify. draw do not exceed Medicaid limits. Myth: Im going to outlive the reverse mortgage. Reality: The only qualifying terms are related to your age, the location of your home, and the amount of Myth: My heirs won't be able to inherit my estate. Reality: A reverse mortgage only becomes due when all homeowners have equity you have in your home. Credit is not a factor. Reality: Since you don't lose title, you don't lose the right to pass your home on to heirs. permanently moved out of the property or passed away. Best Reverse Mortgage .com