Donna wanted to work on her terms.
She loved her work. Reducing the pressure from her mortgage payment helped her make a different decision about how much of it to do.
Read Donna’s storyPut the home to work for your goals
Could your mortgage give your monthly budget more room?
You may enjoy your home and still wish its mortgage payment left more room for everything else. Richard can help you see whether a reverse mortgage could change that monthly picture.
What would change if that required payment went away?
For an eligible homeowner, a reverse mortgage can pay off an existing mortgage at closing and replace it with a loan that has no required monthly principal and interest payment while its terms are met. The useful question is what the change would mean for your budget after costs and ongoing property expenses are included.
Bring your goal and a general description of the home. An initial review can determine whether a current illustration is worth preparing and which alternatives belong beside it.
Your comparison can show
- Compare the existing mortgage payoff with estimated available proceeds.
- See whether you would need to bring funds to closing.
- Review the change in monthly cash flow, upfront costs and projected loan balance.
A closer look
Know what comes with the benefit.
You still own the home and remain responsible for taxes, insurance, applicable association charges, maintenance and occupancy requirements. Interest and fees accrue, generally increasing the loan balance and reducing remaining equity. A reverse mortgage is a new loan, and the numbers need to justify the change.
HECMs are generally available to eligible homeowners age 62 or older and require independent counseling. Some proprietary programs have different age and property requirements. The review will focus on the options available for your circumstances.
Read loan and licensing disclosuresSee what the numbers make possible.
Start with what you’d like to change. From there, a mortgage illustration can be prepared if the situation appears to fit. You can include the family members or advisors you want at the table.