Why reverse mortgages are not just for the rich

For many years reverse mortgages were broadly considered a loan of last resort. But as these financial vehicles have become more mainstream, and financial advisors have begun giving them a second look, a new criticism has emerged: they are yet another way for the rich to get richer. Neither categorization is entirely accurate. However, looking at them…

Although couples typically take out a reverse mortgage loan together, there are some circumstances in which one spouse does not meet the eligibility requirements of the loan. In these cases, the eligible spouse may take the reverse mortgage loan in their name alone. While the borrowing spouse is living and upholding the terms of the loan, this arrangement allows…

While reverse mortgages have been around for decades, many people still don’t understand how they work. This confusion can lead to people dismissing them as a viable financial option, without really taking the time to learn more and separate the myths from the realities. While it’s difficult to pinpoint where the misconceptions came from, we’ve compiled…

FFAZ Reverse Mortgage Lunch & Learn Prescott Arizona (1)

Several situations may make refinancing a reverse mortgage a savvy financial decision. These can include: Locking in a more favorable interest rate. If market conditions have led to lower interest rates, refinancing could potentially reduce the amount due when the loan matures. Accessing more equity. If a home’s value has appreciated significantly, refinancing might make a borrower eligible for…

What Is a Cash-Out Refi? The process for a cash-out refi is similar to refinancing an existing traditional mortgage. In a traditional refi, the borrower pays off an existing mortgage loan and secures a new loan. The terms are different from the original loan, likely with a lower interest rate, shorter term, or both. In…

Reverse Mortgage Funding, LLC filed for bankruptcy protection December 1, 2022. By December 6, 2022 monthly disbursements were approved by the courts to continue without interruption. What does this mean for you if you have a reverse mortgage with RMF? For the most part, nothing. One of the protections you get with the FHA backed…