• Nichole Fox

5 Common Reverse Mortgage Myths

Myth #1: If I take out a Reverse Mortgage Loan, the lender will own my home.

Fact: Like any other mortgage, the homeowner still retains title and ownership during the life of the loan.

Myth #2: My children will be responsible for paying off the loan.

Fact: When the house is sold, there will be no mortgage debt for the family and heirs to pay.

Myth #3: If I outlive my life expectancy, the lender will evict me.

Fact: There is no time limit on how long seniors can stay in their homes.

Myth #4: There are restrictions on how I can use the proceeds.

Fact: The cash proceeds from a reverse mortgage can be used for any purpose.

Myth #5: If the market crashes and my home loses its value, I (or my heirs) will owe the difference.

Fact: A Reverse Mortgage is considered a non-recourse loan, insured by the FHA. This means in the rare occurrence that a home is "under water", the bank will absorb the debt, not you or your heirs.

35 views0 comments

(888) 659-0033

©2020 by Freedomstar Financial, Inc. 

 All Rights Reserved. We are not affiliated with any government agencies, including the VA, FHA, or HUD.   CA - Loans will be made or arranged pursuant to Bureau of Real Estate License #01984665; CO Mortgage Company Registration 100054512, Regulated by the Division of Real Estate; Florida MBR License #2065. GA Residential Mortgage Licensee; Mortgage Lender License #70335. Regulated by the Bureau of Financial Institutions, Virginia Mortgage Lender License and Mortgage Broker License #MC-7043.  Click on these links to access our Privacy Policy. Licenses, and NMLS Consumer Access - NMLS #1439059. This offer is intended for residents of CA, CO, FL, GA, TX, and VA only.

Freedomstar Financial, Inc. | 111 Deerwood Drive, Ste 200 | San Ramon, CA | 94583
518 N. Chelton, Ste 200 | Colorado Springs, CO | 80909

*Product offered is a loan and lender will place a lien on subject property. Borrower is responsible for paying property taxes, homeowner's insurance and home maintenance. Loan is subject to foreclosure for failure to pay taxes and insurance to maintain the property and to comply with loan terms. Loan Officers' primary objective is to provide a loan to the consumer. Individuals portrayed in photography are not actual borrowers.