How Can a Senior Qualify For a Reverse Home Mortgage?

Different reverse home mortgage lenders have different rules, but generally a senior must have equity left in his home, and own capital, against which the reverse home mortgage loan will be taken. This equity works as a guarantee.

1. The Target Of The Reverse Home Mortgage Is To Help Seniors.

This principles can be seen in all terms concerning the reverse home mortgage loans. They are very easy to get and very flexible loan types. They offer financial help for immediate needs of the disposable money, for bigger needs, like the home repairs or help for occasional needs in the form of the credit lines. A senior can select, how he wants a lender to pay him.

2. The Reverse Home Mortgage Loan Will Be Taken Against The Equity Of The Home.

There is a clear philosophy. When seniors have saved money during the years, when they worked hard and paid their mortgages, now is the time, when they can use part of these equities for their new financial needs. So the money goes in a reverse way.

This philosophy has also other benefits. When the reverse loans are taken against the home equities, seniors do not need a good credit information nor monthly incomes. This is great, because now those seniors, who have very limited incomes can get a loan and to increase their monthly incomes.

3. Your Credit Information Has No Meaning.

People have bad credit scores for many reasons but for seniors they have even worse influences. The reverse mortgage loans are excellent for senior people, who have bad credit information and additionally difficulties with their monthly expenses.

The bad credit information is especially bad for a senior. But a bad credit information is one thing and the home equity is another thing. If a senior has a home equity left, he is lucky, because that and only that he can use to get a reverse mortgage loan.

4. Your Income Information Has No Meaning.

Can you imagine, that you can get a loan without any regular monthly income and even if your credit record shows very bad figures? This is one of the great benefits, which the reverse home mortgage loan has. The reason is, that the whole loan is taken against the equity of the home and you can never owe more than the value of the home. So the incomes have no meaning.

As you can see from the above qualifications, the reverse mortgage loans are almost for every senior. The key point is, that a senior owns a home, where he has equity left. That is the own capital against which the reverse mortgage loan is taken.

It is also extremely important that a senior meets the reverse mortgage counselor, who is an expert to guide him about his special needs. That is the most important meeting, because the loan comes almost automatically. The counselor meeting requires, that you will prepare yourself correctly and make lots of questions.

Juhani Tontti, B.Sc., Marketing. When You Think What Is Reverse Mortgage, The Key Thing Is To Get Enough Information. The Reverse Mortgage Loans Are For Seniors And Are Easy To Qualify. Visit: Reverse Home Mortgage