Thinking about a reverse mortgage?
Tuesday, February 16, 2010 14:18If you have been thinking about a reverse mortgage, there are certain questions you need to ask yourself before you go ahead. What are these questions? Well first and foremost the most important question of them all is: Do I need the money for a particular purpose?
If you are eligible and have lots of equity in your home, a reverse mortgage may still not be the option for you. You need a solid reason to want to take out one. Perhaps you need a new car or are looking to finance a beach house. Alternatively, a valid reason for wanting one is to make ends meet every month - filling in the shortfall that tends to happen when you are in retirement on a limited and fixed income.
Secondly, you need to make sure you are eligible for a reverse mortgage. For this, in a general sense, you need to be aged 62 or over and have a large percentage of equity in your home. So if you have an 80% mortgage then perhaps this is not right for you. If your thoughts turn into actions, be sure to take expert advice from someone like Mortgage Wiser or RM Reverse.
