Reverse Mortgages are a chance for retired folks to catch up on any of their financial struggles. However, there is a lot of misinformation out there that tends to turn people away from reverse mortgages. For that reason, we’re here to tell you what really goes on and clear up some of the myths. The following are a few misconceptions. We’ve paired them with the real facts from the reverse mortgage lender Mount Juliet, TN homeowners have trusted most.
Common Reverse Mortgage Misconceptions
“If I get a reverse mortgage, the lender will own my house.”
False. Just like any other mortgage, you will remain the owner of your home. The loan is secured by a deed of trust or a mortgage – just like a “forward” or regular mortgage. The only thing that is different is you will no longer be making mortgage payments. That is, as long as you stay on the property.
“The loan might exceed the property value, and then I’ll owe more money than my home is worth.”
False. The reverse mortgage amount will never exceed the value of the home. Additionally, if for some reason the loan value happens to exceed the value of the property, the additional amount is forgiven. It will not be the responsibility of your heirs.
“A reverse mortgage costs too much.”
The benefits of a reverse mortgage usually outweigh the costs. You can finance all the closing costs, leading to no out-of-pocket expenses. In addition, you won’t have to make a monthly mortgage payment while the property is occupied as your primary residence. For that reason, when it comes due, a reverse mortgage will cost about the same as a regular mortgage.
Call the Reverse Mortgage Lender Mount Juliet TN Homeowners Trust
If you are in the Nashville area and are looking for more information on reverse mortgages, we can help you. With our years of experience, we’ll use our knowledge and expertise to give you all the information you need. That way, you can make an informed financial decision. A reverse mortgage can help you live your retired life to the fullest. For that reason, call the local reverse mortgage lender Mount Juliet, TN homeowners trust most.
To explore your reverse mortgage options, call Mortgage South at (615) 657-5878.