Reverse mortgages are a versatile financial tool that over 1.2 million homeowners have used to enhance their retirement years. However, like any financial product, reverse mortgages should be considered carefully before deciding whether to obtain one.
The National Reverse Mortgage Lenders Association offers these free consumer guides to help manage borrower expectations throughout the reverse mortgage process.
- Reverse Mortgage Self-Evaluation: A Checklist of Key Considerations poses seven questions and important considerations interested consumers should ask themselves, and think about, before proceeding with a loan application.
- What You Need to Know About Your HECM After Closing explains the important role of the loan servicer and the rules that borrowers must follow to keep their loans current, such as paying property taxes and hazard insurance premiums and maintaining the home’s structural integrity while the loan is active.
- What Do I Do When My Loan is Due? explains the end of the loan process when it is time for the loan to be repaid.
- Recognize and Report Elder Financial Abuse helps older persons and their loved ones recognize common scams and signs of financial exploitation and includes contact information for government authorities and victim support organizations. themselves, and think about, before proceeding with a loan application.
Keep these booklets handy and read every so often to refresh your memory and understand your responsibilities. But remember, your best source of information is always your servicer.