Reverse Mortgage (HECM)
Understanding Reverse Mortgages
A reverse mortgage allows homeowners aged 62 and above to tap into the equity of their homes without having to sell or make monthly mortgage payments. Unlike traditional loans, where you make monthly payments to the lender, a reverse mortgage pays you. This option is particularly useful for retirees or those nearing retirement who want to supplement their income, cover healthcare expenses, or make home improvements.
At Upward Lending, we work with you to ensure you get the most from your reverse mortgage. With a team of licensed professionals, we aim to deliver personalized options based on your unique financial needs.
How Does a Reverse Mortgage Work?
A reverse mortgage works by allowing eligible homeowners to borrow against the equity in their home while retaining ownership. This type of loan doesn’t require monthly payments, and it can be received in several forms—such as a lump sum, monthly payments, or a line of credit.
As a homeowner, you remain responsible for property taxes, homeowners insurance, and maintaining the home. The loan is repaid when the home is sold, usually after the borrower moves out, passes away, or the home is no longer their primary residence.
Key Benefits Include:
– No monthly mortgage payments
– Flexible disbursement options (lump sum, line of credit, etc.)
– Retain home ownership
– Non-recourse loan (you will never owe more than the home’s value)
Who Is Eligible for a Reverse Mortgage
To qualify for a reverse mortgage, you must meet several important requirements:
Age Requirement: Borrowers must be at least 62 years old.
Primary Residence: The home must be your primary residence.
Home Equity: You should have sufficient equity in your home.
Financial Assessment: A financial evaluation is required to ensure you can continue paying property taxes, insurance, and other maintenance costs.
Reverse Mortgage (HECM) Benefits
A reverse mortgage offers significant advantages, particularly for retirees seeking financial security. As retirement savings might not always cover unexpected expenses, healthcare costs, or lifestyle improvements, tapping into your home’s equity can be a reliable alternative to help you manage your finances.
Financial Advantages of a Reverse Mortgage Include:
No Monthly Payments: Unlike traditional loans, reverse mortgages require no monthly mortgage payments. You receive payments from your equity.
No Income or Credit Score Requirements: Since repayment isn’t required until the home is sold or vacated, reverse mortgages are accessible even to those with limited income or poor credit scores.
Tax-Free Income: The funds you receive are generally tax-free, giving you more financial freedom.
What Our Clients Say
Richard Maceyra2024-08-28Paula and Upward Lending were phenomenal. She was available to answer my phone calls beyond the normal working hours of corporate franchised mortgage lenders. She sent graphs, charts and much more information before I made requests to keep me informed about what I should do, am doing and will need to do. Upward Lending was wonderful to work with, quick and efficient, professional and I will be using them again in the future for refinance and strongly recommend to others.
Rebecca McPeek2024-08-25Paula was absolutely amazing through the entire mortgage process. She really took care of us, and worked quickly to get us into the home we loved. I am so grateful for all of her help and kindness. Having Paula on our team made everything stress-free, and we are so blessed we were able to work with her!
Robert Haire2024-08-22Paula was a wonderful loan officer. Her hard work and quick responses made the entire process efficient and enjoyable. I can't recommend her enough.
Cesar Ferrigno2024-08-22I can't recommend Paula enough as a mortgage broker! From start to finish, she made the entire process incredibly easy and stress-free for my wife and I. Paula was always quick to reply to our messages, answering all our questions and guiding us through every step with patience and expertise. Thanks to her hard work and dedication, we were able to secure a loan for our dream home, and we couldn't be happier! If you're looking for someone who truly cares about her clients and goes above and beyond, Paula is the one to call. Thank you, Paula, for everything!
Andrew Hering2024-08-21Paula is an OUTSTANDING and extremely personable mortgage broker. Would highly recommend her for any home loan needs!
Mason Marquis2024-08-18Amazing customer support and leadership at the upward lending team. These are experienced folks that know the business. I have recommended them to several friends and family!
