Reverse mortgages in Dallas as well as the rest of Texas have become very popular. With a reverse mortgage loan (also called a home equity conversion loan), homeowners of a certain age may use home equity for anything they need without having to sell their homes. The lender pays out money based on your home equity amount; you receive a lump sum, a monthly payment or a line of credit. The loan does not have to be paid back until the borrower sells the home, moves away, or passes away. You or representative of your estate must repay the reverse mortgage funds, interest accrued, and other finance fees at the time your home is sold, or you can no longer use it as your primary residence.
The conditions of a reverse mortgage often are being 62 years-old or older, using the property as your primary living place, and holding a small remaining mortgage balance or having paid it off.
Many homeowners who are on a limited income and need additional money find reverse mortgages ideal for their circumstance. Interest rates can be fixed or adjustable and the funds are nontaxable and don't interfere with Social Security or Medicare benefits. Your lending institution will not take away your residence if you live past the loan term nor will you be forced to sell your residence to repay the loan even if the loan balance is determined to exceed property value. If you'd like to find out more about reverse mortgages, feel free to contact us at 214-396-3650.
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