A reverse mortgage used to be considered a last resort option for the so called, "cash strapped" seniors who needed to tap into home equity in order to get financial help during retirement.
This article will cover general information so that you will have a basic idea of what a reverse mortgage is and what the qualifications are in order to obtain one.To know more about mortgages visit https://pekoe.ca/.
As you might be aware, reverse mortgages are becoming more mainstream by the day. More lenders than ever before, are offering this type of loan and each year the demand grows. It's not just the economic crisis that has fostered this, but it's also the rise in life expectancies, the rise in health care costs for seniors, and the overall increased costs of daily essentials.
SO WHAT EXACTLY IS A REVERSE MORTGAGE?
A reverse mortgage is a unique type of home equity loan that can provide lifetime Tax-Free income to seniors 62 or older. Senior homeowners that have accumulated large amounts of equity over many years of homeownership, now have a way to tap into this asset through a reverse mortgage and never make another monthly mortgage payment as long as they live in the home.
Before this financial tool was available the only way to tap into this asset was to sell the home. Most people do not find this an acceptable option at this stage of life.