RTG Consultants

Reverse Mortgage Basics

Reverse mortgages are helping older Americans across the country achieve greater financial security. And enjoy their retirement years to the fullest.

Imagine having the income you need to remain living comfortably in your home in retirement - and at the same time make much needed repairs or renovations, afford quality home healthcare, or even vacation with family and friends. Over 70,000 older Americans have done that thanks to the reverse mortgage, a unique financial security tool that gives older Americans the freedom and peace of mind to fully enjoy the retirement years.

A reverse mortgage is a loan that allows seniors to use the equity they've accumulated in their homes over the years to improve their quality of life and knock down the financial barriers to independent living. By converting equity into income, a reverse mortgage is a way to stay in your home and receive cash to use for any purpose - whether it's day-to-day-living expenses, home remodeling or repair, paying off existing debt, earning a college degree, or traveling around the world. Best of all, you retain title and you remain living in your home.

Homeowners who are 62 years and older can qualify and may be eligible even if there is an existing first or second mortgage. There is no income qualification. The size of the reverse mortgage granted depends upon the applicant's age, the type of reverse mortgage sought, the home's value, and interest rates.

For as long as a reverse mortgage is outstanding, no monthly mortgage payments are required. The loan matures when the borrower no longer occupies the home as a primary residence. This typically occurs upon the sale of the home, or if the owner permanently moves or passes away.

Reverse Mortgage Fast Facts
All borrowers must be 62 years and older
No repayment is made until the home is sold or the owner is permanently moves out or passes away.
You will never owe more than the value of your home.
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 your tax advisor.
You own your home - the lender does not take control of the title.
Interest rates are adjustable and can change periodically; however, this DOES NOT affect the amount you will receive.
Closing costs and fees incurred can be financed as part of the loan; there is zero to minimal out of pocket costs to you.

Receiving your Reverse Mortgage Cash
All at once, in a single lump sum of cash.
As a regular monthly cash advance.
As a "credit line" account that lets you decide when and how much of your available cash is paid to you.
As a combination of these payment methods.

No matter how this loan is paid out to you, you don't have to pay anything back until you pass away, sell your home, or permanently move out of your home.

Retirement should be a time for Enjoyment
Reverse Mortgages are designed to help you achieve your goals by providing you extra tax-free cash flow to live your retirement years without the stress of worrying about money. If you own your home, a Reverse Mortgage may be right for you.

RTG Consultants is here to help answer any questions and assist you through the process. We will gladly do a free analysis for you with no obligation or restrictions. We can be reached via phone or email.
Contact us here.

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