When you take out a reverse mortgage from a lender, you are borrowing against the equity of your home. This means that after you pass away, your family is still obligated to pay off the reverse mortgage and can even pass it down to their children. Because a reverse mortgage can help finance medical expenses and other bills, there are many people who get them for the purpose of staying healthy and not having to save for their retirements. But this benefit is also great for older homeowners who would have otherwise had to dip into their retirement funds to pay off the loan.
To determine the amount you can borrow against your home’s equity, lenders will need to know your home value, your age, how much you earn and your debt to income ratio. You will also need to agree on the terms and conditions of the reverse mortgage interest rate. You can find out the reverse mortgage lender that you want to borrow from by checking with your local bank or credit union.
Another way to find a good reverse mortgage lender is to ask people you know for recommendations look for reverse mortgage lenders in Brookings. Check with a broker too to see if there is any way that they can help you find a suitable lender. If you are looking for a no-obligation quote for reverse mortgages, you can get one from a reputable loan company or from your existing bank.