Reverse mortgages...there's a better way

Many senior citizens are using reverse mortgages to supplement social security, meet unexpected medical expenses, make home improvements, and more.

Your home is probably your largest single investment, so it is smart to know more about reverse mortgages and decide if one is right for you. I believe it's important to present my conclusion about this government-created program. I've concluded that a reverse mortgage is, for some seniors, the last desperate step before insolvency and that there is a better and safer method to accomplishing an increase in monthly income. With my guidance and instruction you can also increase your net worth rather than eliminate it.

That being said, let’s examine a HUD created reverse mortgage.

Exactly what is a reverse mortgage?

A reverse mortgage is a special type of loan used by senior citizens to convert the equity in their homes into more income. The money obtained through a reverse mortgage can provide senior citizens with the financial security they need to fully enjoy their retirement years.

What types are available?

There are three basic types:

1. Single-purpose reverse mortgages, which are offered by some state and local government agencies and nonprofit organizations;

2. Federally-insured reverse mortgages, which are known as Home Equity Conversion Mortgages(HECMs), these are backed by the U.S. Department of Housing and Urban Development(HUD); and

3. Proprietary reverse mortgages, which are private loans that are backed by the companies that develop them.

To learn more about reverse mortgages, including qualifying, advantages and disadvangtages, and need-to-know information, go to TenPercentDown.com and sign up to receive my FREE newsletter. Click here!

--Chuck Salisbury