Archive for March 2009

What Seniors Need to Know About Reverse Mortgages

Reverse mortgages can help senior home owners with the cash they need during their retirement ages. Reverse mortgage allows them to remain and continue living in their same homes indefinitely while receiving monthly payments from the mortgage lender.
A reverse mortgage is basic in principle. Senior home owners can borrow against the equity in their homes. [...]

Reverse Mortgage is Not a “Last Resort” Option

Recently, Consumer Reports site had written on Feb. 17 that, a HECM (Home Equity Conversion Mortgage) reverse mortgage needs to be considered only as a “last resort”. This is kind of misleading, because reverse mortgages are just loans to American seniors with no monthly payments required. The advantages of reverse mortgages far outweigh the disadvantages. [...]

The HECM Limit Increase Will Increase Number of Reverse Mortgages Originating in 2009

The US Senate passed the economic stimulus bill recently. In it has been included a limit increase in the HECM program. HECM is short for the Home Equity Conversion Mortgage Program, which is how the federal Government terms the reverse mortgage program which is quite well known.
The economic stimulus plan raises the maximum limit for [...]

Seniors Will Benefit From the Economic Stimulus Plan

There are some housing-related items in President Obama’s economic stimulus plan, which can potentially help American seniors successfully tackle the tough economic times.
American seniors have been forced to re-evaluate their finances and retirement plans because of the current economic doldrums. Americans above 55 years of age are especially vulnerable to financial pressures and losses because [...]

Pay Off a Reverse Mortgage, or Maybe Not?

Briefly, a reverse mortgage is for senior home owners aged 62 or older, used to convert their home equities to cash. A lender would determine the value of your home and provide you with the money. You need not pay it back until you sell, move out of the home or pass away.
What are the [...]

5 Questions to Ask Before Taking Out a Reverse Mortgage Loan

America’s HECM or reverse mortgage program allows senior citizens home owners to take a reverse mortgage on their home property and get some quick cash. Seniors can then continue living in the same home without making any loan repayments for as long as they like. The home will be sold by the lender after the [...]

List of 25 Ways to use your Reverse Mortgage Payment Money

The money derived from your reverse mortgage is yours to for whatever purpose you may want.
Here we see some 25 interesting ways in which you can put your reverse mortgage money to good use.

1. Home Repairs - if your home is in need of some remodels or repairs, then you can use the money from [...]

Are Reverse Mortgages Only for the “Needy”?

A Reverse Mortgage enables senior American homeowners 62 or older to convert their home equity amount into cash, while continuing to live in the home. The money can be received in one of three ways (or any combination of these):
1. As one lump sum
2. As monthly income for life or a fixed no. of years
3. [...]

Strategies for Early Retirement Moves – Things to Consider

A comfortable retirement can depend hugely on the steps you are taking, during the different life stages. It is not too late to start planning for your retirement, if you have not already started doing so.
When you are at age 20s to 30s, you need to contribute a lot of money to the IRAs, 401-K’s, [...]

To Reverse Mortgage or not to Reverse Mortgage? 

A reverse mortgage is a special mortgage available to  eligible American senior home owners that are at least 62 years old. The lender will provide money against the equity in the home belonging to the senior home owner. This money does not need to be repaid until the senior moves out of the home. The [...]

Escape From Foreclosure – Use a Reverse Mortgage

During these days of economically hard periods, many people tend to get nervous and are afraid that, they are going to lose their homes. Many people are getting terminated from their jobs, careers and employment areas. These types of sudden loss of work can create panic and without some quick money, or another source of [...]

Reverse Mortgages Are Not “Expensive”

Sometimes in media reports and consumer review sites we see that the term “expensive” is associated with reverse mortgages. This can be a misleading term because reverse mortgages are not really expensive. Only reasonable closing and origination fees are charged by the reverse mortgage lenders. The use of the term “expensive” in relation to reverse [...]

Home buyer tax credit in Economic Stimulus Package

President Obama had recently signed into law, the Economic Stimulus benefits package. There are some housing elements in this stimulus package. These small steps are not likely to have a huge impact on the US housing market, but these are still beneficial. Americans may want to take advantage of the changes [...]

Madoff Victims Should Use Reverse Mortgages for Money

We have all come across the media reports and stories about the Madoff Ponzi scandal that has involved an amount close to $50 Billion.
Due to the Madoff scandal, many people have lost their life’s savings and their stories are the ones we keep hearing in the media. A using their home to apply for a [...]

The Economic Stimulus Plan and Your Mortgage

President Barak Obama’s $787 billion Economic Stimulus Bill has taken effect from March 4, 2009. Many American home owners are now wondering how this bill will affect the housing market. The bill focuses on improving the economy by reviving spending and creating jobs. The bill includes steps to get this done in this important segment [...]

All About Annually Adjusting Reverse Mortgages

A variation in the popular HECM program (Home Equity Conversion Mortgage) is the Annually Adjusting HECM. This has been around for many years now. But many lenders and borrowers simply never used them, because the difference between the annually adjusting HECM and the monthly adjusting HECM was huge making a big difference in the amount [...]

Senior Koreans Set to get More Reverse Mortgage Money

The financial authority of Korea (Financial Services Commission - FSC) is said to be considering expanding the availability of reverse mortgages to ensure that Korean senior citizens are able to lead stable after-retirement lives in secure financial way.
The financial regulator is looking to ease the terms and conditions associated with a reverse mortgage. Reverse mortgages [...]

American Seniors Can Get Their Economic Stimulus Checks Starting May 2009

Within a period of two months, in May of 2009, retirees and senior Social Security benefactors will get a $250 from the US Government as part of the recently passed economic stimulus bill.
The “senior payment” figures are as follows.
$250 for individual seniors and $500 for senior couples when both receive Social Security.
The amounts will be [...]

HECM Reverse Mortgage Loan Limit Got Raised to $625,500

The economic stimulation bill recently made into a law by the President raises the national loan limit for HECM reverse mortgages to 150% of Freddie Mac loan limits criteria. This creates a higher new HECM loan limit which is $625,500. This is a successful outcome of the efforts of the AARP and the NRMLA (National [...]

There is Nothing Mysterious About HECM’s

For many American senior home owners, HECM agreements or reverse mortgages seem to be shrouded in mystery. Many senior home owners have somehow got a notion that a reverse mortgage loan will take the home away from them, or that they will owe more than the home worth after the end of the loan period. [...]