Reverse mortgage loans have become increasingly popular in the last few years. As a result many reverse mortgage lenders in Washington state have been busy trying to get the word out and explain the benefits of revers mortgage loans.
Before we go any further though, there are two requirements that must be met to obtain a reverse mortgage loan in Washington State.
First: You must be over 62 years old. Age does have its privileges and there are no exceptions for this type of loan.
Second: You must have equity in your home currently. The reverse mortgage loan, just like a regular loan uses the property as the security for the mortgage. That is actually about the only thing revers mortgage loans have in common with a traditional loan.
What Can A Reverse Mortgage Do For You Though?
Reverse mortgage loans can work in a variety of different ways:
You can you a reverse mortgage loan to pull equity out of your home, you can use a reverse mortgage loan to set up a stream of payments to yourself or you can do a combination of the two.
For instance you may have some medical bills and some credit cards that you would like to pay off let's say for twenty thousand dollars and then you may want to supplement your income by $1,500.00 per month. A reverse mortgage loan is the perfect vehicle to accomplish this.
Here's the best thing about a reverse mortgage loan. You don't have any mortgage payments...NONE. The reverse mortgage loan does a accumulate interest, but it does not get paid until the home is sold and of course any remaining equity goes back to you.
So with reverse mortgage loans you can:
1) Never have a mortgage payment again
2) Pay off any bills you would like to
3) Get a monthly check from your reverse mortgage loan
4) Pay off bills and get a monthly check while eliminating your mortgage payment.
In order to qualify you must:
1) Be at least 62 years old
2) have equity in your home
Common Myths about Reverse Mortgage Loans
1) You can lose your house. You can never lose your home, the mortgage is paid off when your home is sold, you can never be required to pay it off earlier or sell your home any earlier. These loans are FHA insured so you are safe and your loan is guaranteed by the Federal Government.
2) You will lose the equity in your home or not be able to pass it on. You own the equity in your home and the reverse mortgage loan doesn't change that. When you sell your home, whatever is owed on the reverse mortgage loan will need to be paid off, just like a normal home mortgage and what is left is your to keep.
3) You need good credit or income to qualify. Actually you don't need any income to qualify and your credit does not matter one bit. Your home and your age are the only two criteria that are considered for the reverse mortgage loan, so the only way you can be denied a reverse mortgage is if your home does not enough equity or you are not over 62 years old.
4) The loan process is difficult. Actually the only information that is needed to see what you qualify for is your zip code, birth date, estimated value of your home and how much you owe. That's it and you can find out exactly what can be done.
To find out what you qualify for you can call 1-866-490-1919 Toll Free.
The call takes a few minutes and you will know right away what can be done for you with a reverse mortgage loan.
