Greater research and recent program changes are shedding new light on how using a reverse mortgage as part of a retirement plan may be a smart strategy. The Home Equity Conversion Mortgage (HECM), also known as a reverse mortgage, is federally regulated and insured by the Department of Housing and Urban Development (HUD) and the Federal Housing Administration (FHA). HECMs make up the vast...

Generally speaking, retirees’ nest eggs are smaller than they were in previous generations, according to a recent article. In addition, retirees frequently expect their retirement income to go further than it does, often resulting in a retirement shortfall. Therefore, many seniors are turning to a reverse mortgage as a way to supplement their retirement income.1 A Home Equity Conversion Mortgage...

More seniors are turning to reverse mortgages to help them through their retirement years. If you’re considering a reverse mortgage, you may have questions about the end of the loan process, and what occurs when it’s time for the loan to be repaid.  Fortunately, the National Reverse Mortgage Lenders Association (NRMLA) created a five page guide that walks borrowers and their families through the...

If you recently closed on your reverse mortgage, you and your heirs may find it helpful to read the new guide published by the National Reverse Mortgage Lenders Association (NRMLA). It’s called “What You Need to Know About Your HECM After Closing”. The free guide provides useful information about the rules and guidelines, the important role of the loan servicer, and timelines that apply to the...

More seniors are turning to a Home Equity Conversion Mortgage (HECM), also known as a reverse mortgage, to help them through their retirement years. However, many adult children are concerned about what happens when their parents die and how the loan will be handled. A commonly asked question is whether their parents will still be able to leave them the home. The answer is yes. Borrowers can...