Steven Vieira, operations manager for mortgages at AAA Southern New England Bank says a reverse mortgage is worth looking into as you plan your retirement. The benefits grow as you get older.
62 is the earliest age you can qualify for a reverse mortgage. They can provide monthly income or help fund home projects by using the equity in your home.
Reverse mortgages become due upon the death of the last borrower, sale of the property or when at least one borrower is no longer living at the residence. Borrowers can default on the loan by failing to pay taxes or insurance.
A reverse mortgage places a lien against your property but you still own your home and the insurance on the loan ensures the borrower won’t owe more than the property itself is worth.
