"My reverse mortgage saved me!" - Karin's story
Back in 2007, I was really struggling. I couldn't make ends meet and I always seemed to come up short each month. I worked as many hours as I could at a lovely retail store in downtown Walnut Creek, CA. The extra money helped, but standing on my feet all day was beginning to take a toll on my health. And I just never had quite enough to get by. I thought I would have to work until the day I dropped dead! Selling my home wasn't really an option, because even if I sold it, houses in the bay area are so expensive. I knew I would just be in the same situation all over again.
One day, my son suggested that I speak with a Reverse Mortgage Loan Officer. I had never even heard of a HECM reverse mortgage loan beforehand. I met with an independent counselor, who explained exactly how the program worked and how it would affect my other benefits. I got approved for my Reverse Mortgage back in 2007 and I haven't made a single mortgage payment for the last 12 years.
My Reverse Mortgage saved me. I used some of the proceeds to pay off all of my credit cards. Now I work 1 or 2 days a week and only if I want to.
When the housing market crashed in 2008, my house was under water. It didn't matter because there are so many consumer protections in place. A HECM Reverse Mortgage Loan is considered a non-recourse loan. That means that if I owe more than the house is worth, the bank cannot come after my estate for the difference. And any equity left in the house will be passed along to my heirs.
I am happy knowing I can live my life to the fullest without the stress and the worry of trying to make ends meet. I felt then, and still feel that my reverse mortgage took a huge weight off my shoulders.
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