“Reverse mortgage” seems to be a catch phrase in today’s economy. Many seniors have heard the term and even been offered the option, but many remain leery of the concept because it has not been completely explained to them. California Reverse Mortgage Educator, however, was created to combat the lack of knowledge. The company is focused on helping seniors better understand their rights as homeowners and weigh their options as it pertains to reverse mortgages.
Reverse Mortgage Educator saw the need for an informative, friendly, helpful and transparent resource for seniors as reverse mortgage options began to become more common. It became clear that the general population was under-educated about their options. To ensure that seniors knew their rights and took advantage of the best possible outcome for their financial health Reverse Mortgage Educator was born. With a plethora of resources and easy-to-understand guide, the team is ready to assist those who are looking for a way to convert their home equity into a source of income.
Reverse mortgages, simply put, are loans offered to individuals who own their home or owe very little left on their mortgage. A reserve mortgage can be best equated to a cash advance. A lender gives the homeowner an agreed upon amount of money per month. No payments are required while persons on the deed to the home continue living within the residence. Upon selling the home, or the death of the occupants the cash advanced must be paid back, traditionally through the proceeds of the sale of the home.
Reverse mortgage have become incredibly popular in recent years. With a cut to many social programs and a depreciating housing market many seniors found it difficult to make ends meet. Facing the possibility of leaving their homes the notion of reverse mortgages came up again and again. These mortgages not only make it possible to retain the residence and sense of independence but it also turns the equity of the home into monthly income, while not affecting social security or medical benefits.
There are some notions about reverse mortgages that are simply misunderstandings or occur because of a lack of knowledge. Reverse mortgages are backed by the federal government. The sale of the house regularly covers the entire cost of the cash advanced and one’s income does not guarantee or deny them the loan. All parties on the deed to the home, however, must be 62 years of age or older and the house must be paid for, or closed to being paid for.
The fine print can be scary and confusing for some. Many have worried that taking out this option would leave their loved ones with unwarranted financial burden, or that they would be forced from their home at a certain point. Plainly put, these things are not true and California Reverse Mortgage Educator was created to help the aging population better understand all of the fine print and the options they have available to them.
