Reverse Mortgage meaning. FHA’s Reverse Mortgage is a special type of home loan that allows a homeowner convert a portion of equity into cash. The equity built up over years of home mortgage payments can be paid to you. But unlike a traditional home equity loan or second mortgage, no repayment is required until the borrower(s) no longer use the home as their principal residence*. HUD’s reverse mortgage provides these benefits, and it is federally-insured as well. I have worked with homeowners all of the state of Alabama since early 2007. Please contact me for any information you need on pros and cons, purchase a home with Reverse Mortgage, age requirements, or any thing else on the federally insured Reverse Mortgage program.What’s the difference between a reverse mortgage and a bank home equity loan? How does a reverse mortgage work?
No! You do not need to repay the loan as long as you or one of the borrowers continues to live in the house and keeps the taxes and insurance current. You can never owe more than your home’s value.*Will I still have an estate that I can leave to my heirs?
When you sell your home or no longer use it for your primary residence in Hoover, Chelsea, Vestavia; you or your estate will repay the cash you received from the reverse mortgage, plus interest and other fees, to the lender. The remaining equity in your home, if any, belongs to you or to your heirs. None of your other assets will be affected by HUD’s reverse mortgage loan. This debt will never be passed along to the estate or heirs.
What is a Reverse Mortgage will also be explained to you in person because I explain the application as you sign and it tells the story. Scott Underwood “Alabama’s Reverse Guy”, and the crew at New South Reverse Mortgage Division are a consumer direct Alabama Reverse Mortgage lender offering FHA Reverse Mortgages DIRECTLY to you, the consumer-cutting out the middle man!
Utilizing a secure, state-of- the-art, technology we have created a network of appraisers and title companies across our footprint and in YOUR area that will make your mortgage experience easy.