RETIRE YOUR WAY
WITH THE RIGHT
FINANCIAL TOOL
LET YOUR HOME TAKE CARE OF YOU
Request a Home Finance Specialist to explain how your home can bring you peace of mind during your retirement years.
HOW DO YOU WANT TO RETIRE?
You’ve spent most of your life making sacrifices to afford the house you live in. As you reach the next chapter in life – your retirement years, this same home can bring you financial security, independence, and peace of mind. Don’t let unforeseen circumstances take that away.
Look at what you could do when you retire:
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Be free from mortgage payments* or large debts
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Support your family in need of emergency funds
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Stay in the home you love and age in place gracefully
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Take trips you’ve always wanted with your spouse, your friends, or yourself
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Help your grandchildren afford college
No matter how you decide to spend your golden years, just make sure you are ABLE and READY.
*So long as you pay your property taxes, homeowner’s insurance, maintenance costs, and otherwise comply with the loan terms.
BE PREPARED TO RETIRE BETTER AND SMARTER
If you’re 62 or older, you might be able to tap into your home equity for funds without having to sell your home or pay additional monthly bills. It’s called a Reverse Mortgage, a common type of financial product for helping homeowners access to cash, a line of credit, or even help finance a new home purchase.
Home Equity Conversion Mortgage (HECM) is one type of Reserve Mortgage insured by the Federal Housing Administration (FHA).
ARE YOU ELIGIBLE FOR A REVERSE MORTGAGE?
YES, I AM!
MYTH #1
If I take out a reverse mortgage, the lender will own my home.
FACT
False. Homeowners still retain title and ownership to their homes during the life of the loan, and can choose to sell the home at any time. As long as the borrower continues to live in and maintain the home and property taxes and homeowners insurance are paid, the loan cannot be called due.
MYTH #2
A reverse mortgage will affect my government benefits.
FACT
A reverse mortgage generally does not affect regular Social Security or Medicare benefits. However, if you are on Medicaid, any reverse mortgage proceeds you receive would count as an asset and could impact Medicaid eligibility. To be sure, we recommend that potential borrowers consult their federal benefits administrators or financial advisors.
MYTH #3
My children will be responsible for the repayment of the loan.
FACT
If the borrower or their estate wants to retain the property, the balance must be paid in full. However, as long as the borrower or their estate sells the property to pay off the debt, there is no recourse if the HECM loan balance exceeds the home’s value at maturity. Any equity remaining in the property after the reverse mortgage is retired belongs to the borrower or
their estate.
MYTH #4
Reverse mortgage lenders take advantage of seniors.
FACT
Seniors who have been victims of reverse mortgage lending schemes are extreme exceptions and typically victims of unsavory lenders. As a consumer, you should only work with reputable lenders. Protect yourself by conducting as much research as possible by consulting government agencies and your financial
advisors.
MYTH #5
I cannot get a reverse mortgage if I have an existing mortgage.
FACT
False. If your house isn’t paid off, the proceeds you receive from the reverse mortgage must first be used to pay off any existing mortgage. This is the most common reason most homeowners 62 years and older take out a reverse mortgage.
Growing older and living longer should get easier. Don't let your finances hold you back from enjoying your Golden Years. It's time to take back control and prepare for anything life throws at you.
Reach out to Doorway Home Loans Specialists about Reverse Mortgages today.