topic Re: Reverse Mortages in Among Friends

Reverse Mortages

Group 5 minus 1 — Tue, 06 May 2025 12:04:45 GMT

Anyone had any any experience w/these?

Re: Reverse Mortages

skatting44 — Tue, 06 May 2025 12:27:43 GMT

There's an old post abt this topic from a few months ago

Re: Reverse Mortages

wagirl — Tue, 06 May 2025 12:55:36 GMT

Kind of---but not really--find someone who specializes in this process--my mom got this years ago when it was just a new thing--I wasn't involved in it, but when she died, the bank came after me and my 2 brothers for some reason-- about the $$ part of it. We got a lawyer and it was straightened out with nothing coming out of our pockets. Just do alot of research.

Re: Reverse Mortages

Melzie — Tue, 06 May 2025 13:15:29 GMT

@Group 5 minus 1 wrote:
Anyone had any any experience w/these?

As someone here stated, this has already been discussed.

Short story is that this is an expensive proposition. You can only take 70% of your available equity, it costs A LOT to set it up and, in some cases, there are monthly fees. I've looked into it thinking it might be a good option for me but, personally, I don't think it's all it's cracked up to be, at least not for me.

Re: Reverse Mortages

Group 5 minus 1 — Tue, 06 May 2025 13:21:20 GMT

Thak you all for your replies. Does not sound good at all.

Re: Reverse Mortages

Group 5 minus 1 — Tue, 06 May 2025 13:24:22 GMT

Found the other post. Oh my! A lot we are not told in the advert.

Re: Reverse Mortages

Still Raining — Tue, 06 May 2025 13:30:24 GMT

Please do your research. Pretty pricey and restrictive. Your heirs will not thank you.

Re: Reverse Mortages

Ainhisg — Tue, 06 May 2025 13:31:59 GMT

My financial advisor told me once to never put in jeopardy something that you almost own or do own outright.

Re: Reverse Mortages

Sage04 — Tue, 06 May 2025 15:33:32 GMT

My nephew who is a Mortgage Broker/lender, told me a few years ago that it's a big ripoff.

Re: Reverse Mortages

CelticCrafter — Tue, 06 May 2025 16:08:36 GMT

Isn't it a loan and your house is the collateral and when you die that loan needs to be paid back?

Re: Reverse Mortages

Hoovermom — Tue, 06 May 2025 16:57:30 GMT

Nothing is free.

Re: Reverse Mortages

kaydee50 — Tue, 06 May 2025 17:02:23 GMT

I don't see many advertisements for them anymore, e.g., Tom Selleck. I think they may be an option for some people but a lot of homework needs to be done before I would sign anything.

Re: Reverse Mortages

sugarbee — Tue, 06 May 2025 17:42:17 GMT

Several years ago I was asked to be a sales person for a reverse mortage company.

I brought the books home and could not even complete the reading. It is a scam and only benefits the company, not individual clients.

I returned the books and said I could only sell something I truly believe in.

Re: Reverse Mortages

katie1859 — Tue, 06 May 2025 19:22:29 GMT

Your home has to be paid for, free and clear title.

You only get a percentage of the assessed equity you have

then when you sell the home and or die, whichever comes first,

That equity, that money with all fees is deducted from the sale.

Those borrowed percentages can diminish the sale price greatly.

Also, if the home is staying in the family again to transfer the property in title

The price is diminished in dollars by the back mortgage equity taken.

Re: Reverse Mortages

Lucky Charm — Wed, 07 May 2025 03:24:26 GMT

I would think, if someone were even considering a reverse mortgage, they're in need of money.

They don't have enough (savings/investments) to be able to survive financially.

They aren't getting financial support from their *heirs*.

So, maybe it's an option that they can use?

Re: Reverse Mortages

CalminHeart — Wed, 07 May 2025 11:45:20 GMT

IMO, Get an equity loan if you need money. I'd never do a reverse mortgage.

I was a registered principal for a securities/variable annuity dealer for decades. We would not accept proceeds from a reverse mortgage from customers.

Re: Reverse Mortages

Shelbelle — Wed, 07 May 2025 19:24:45 GMT

Do NOT recommend, friend of mine had one and it took way over a year once she moved out of the house to be done with it, tons and tons of red tape, made her a nervous wreck. Had to get a lawyer involved on her behalf.