Using a Reverse Mortgage to Purchase a Home

There is a lot of buzz on the street about reverse mortgages.  Whether to use or not to use is the question.  Regardless of your stance on this program.  We at Green House Mortgage love to educated those who have or will be making one of the largest financial descisions of their lifetime as a senior citizen.

As you might have heard one of the foremost and yet simple guidelines for a senior to use a reverse mortgage is to be at least 62 years of age or older.  By this time most have purchased and refinanced a home serveral times in their lifetime.  In fact, most have paid their loan balance completely and now live without a mortgage!  Regardless if you still owe a balance or you’ve completely paid it off, if you are one of these who have done so you may now be ready to sell your home and downsize.  You may be like most and do this to migrate south with the rest of us here in Florida if not here already.  If you were to do this you are most likely in a position to purchase another home here in Florida for cash.  Sounds like a great plan to live out the rest of your days right?  Congrats!  Unfortunately, with these slow and unstable economic times many seniors who have worked hard their whole lives planning for retirement are now finding that the plan they had meticulously followed may be leaving them quite short of their goal and quality of life in retirement.  With rising health care costs and inflation in general making ends meet all of a sudden seems like a challenge.

But what if we were to tell you and your realtor that you could use a reverse mortgage to purchase your home here in Florida?  Just like a reverse mortgage refinance on a home you may already live in and own, you can use this same loan program for a purchase!  With no credit qualifications and little to no income qualifications, depending on your age and value of the home you’re looking to purchase you would only need to put down a smaller amount for a downpayment.  The rest would be used as a reverse mortgage loan.  And remember, with a reverse mortgage loan program you would still have no monthly mortgage payment!

So to recap the benefits of using a reverse mortgage to purchase a home:  You use less of your cash and you retain more of your cash in reserves for emergencies, family, lifestyle, etc, and you have no monthly mortgage payment.  This is becoming a viable option to a lot more seniors who are not so sure what the future of cost of living may hold.  It can give you a little extra assurance to know you have a home securely in your name, no monthly payments and more importantly a little extra in reserves for whenever and whatever you need.  And to us at Green House Mortgage, we just thought you’d like to know!

Green House Mortgage is a full service home loan origination entity in Tampa, FL and servicing the state throughout. If you have any questions or concerns with the article or simply need mortgage advice please call 813-732-3155 or email us at info@ghmortgage.com. We are dedicated to giving you the best mortgage consultation available.  Green House Mortgage – It Pays to Go Green!