The Reverse Mortgage A FINANCIAL SOLUTION TO ELDERS. By Nandhavanam

Size: px
Start display at page:

Download "The Reverse Mortgage A FINANCIAL SOLUTION TO ELDERS. By Nandhavanam www.icaremylife.com"

Transcription

1 The Reverse Mortgage A FINANCIAL SOLUTION TO ELDERS By Nandhavanam

2 Concept of Reverse Mortgage During the earning period an individual s major earnings goes towards housing loan repayment. In turn, after their retirement, they are not having sufficient cash flow to meet out their day-to-day expenses, medical expenses etc. Also they cannot sell the house and move to another house for rent for many reasons. Now, the concept of reverse mortgage helps such senior owners to generate fixed cash flow (income) in their retired living life to meet out their cash flows. Before getting deeper into Reverse Mortgage, Read the difference between Normal Housing Loan and Reverse Mortgage (Loan): Housing Loan (Mortgage) Loan given to earning person who is less than the age of 58/60 for the purpose of constructing a house Loan is disbursed upfront and then recovery begins as EMI (Equated Monthly Installments) Loan is exclusive of interest Interest paid and principal repayment has income tax benefits Failure to repay EMI will result in forfeiting the property by housing loan companies Target repayment value cannot be ascertained since the rate of interest varies from time to time Valuation done at the time of loan sanction and the same is final till the loan closure Reverse Mortgage (Seniors Loan against House) Loan given to a non-earning senior, aged above 60, against their residential house property Amount is disbursed every month and cumulative value along with accrued interest would become the loan amount Loan is inclusive of Interest No income tax benefit since the receipt of principal and interest thereon is neither an income nor an expenditure since both contributes the loan No repayment obligation till the life time of the elder including the spouse Target loan component is fixed upfront and the monthly withdrawal vary accordingly Valuation is done once in 5 years and the loan target value is re-written based on the revised valuation

3 Lesser the age - Lesser the EMI Lesser the age - Lesser the monthly withdrawal Lesser the age - Longer the Term More the age Lesser the term Borrower need not stay in the same property Part or lump sum payment is possible Repayment is mandatory every month One should forego their house property if the loan is not repaid Loan decreases every month on payments Monthly repayment is the only option Processing Fee need to be paid separately On property value upto 80% is financed subject to repayment capacity If the borrower has sufficient repayment capacity, there is no restriction on the maximum amount to be financed Borrower should stay in the mortgaged property Part or lump sum withdrawal is possible Repayment is not mandatory till the life time of the elder The senior can stay in the same house even after the end of loan tenure Loan increased every month on drawls Monthly /Quarterly /Half-yearly / Annual withdrawal is possible. The processing fee is included in the loan. No need to pay separately. On property value upto 60% is financed and no repayment capacity is required Maximum loan amount is restricted to Rupees INR 1 Crore How it Works?... Check it Out!!!... What is needed? A debt free residential house in good condition which can be used for a period of at-least next 20 years standing in the name of the borrower who should be more than 60 years of age. Spouse who is a joint owner of the borrower if less than 60 years (but not less than 55 years) of age can also join the scheme. Loan value The 60% of the property value with a maximum limit of INR 1 Crore. The property will be revalued once in every 5 years and the loan may be reset based on the revised valuation.

4 Legal requirements Eligible borrowers should own their property with free and clear title, well maintained livable unit or flat, by paying government taxes in time, remaining usable life of the property be minimum 20 years, availability of all the legal documents for mortgage etc., are the requirements on legal related aspects Rate of Interest Fixed and floating rate of interest are charged as opted by such borrower Loan Tenure Range between 5 to 20 years depending on the age of the borrower. Lesser the age - Longer the term. Disbursement One can either go for fixed cash drawing route or lump sum cash in advance and periodical monthly cash withdrawal method. This may be more helpful to the seniors to spend some money for their major medical treatment or to meet out their debts etc. There after the Senior will receive equal monthly payment for their day-to-day living for a fixed period of months selected by him. Withdrawal Amount Per Month More the age - More the withdrawal. Since the livable period of a senior is less if they are more aged this system might prevail. Existing Housing Loan Absorption If the property is already mortgaged with a housing loan company and any outstanding loan be taken over by reverse mortgaging companies and from that point onwards the borrower is free from housing loan repayment obligation Property Occupancy The borrower should occupy the property as his/her primary residing house and no such loan can be extended on any other property of the same borrower Maintenance of the Property The borrower should maintain the property in good and livable condition and normal wear and tear should also be managed by the borrower. They should also discharge all the government outgoes.

5 Recovery of Mortgage Loan During the tenure of the loan period a borrower may partly or fully close the loan and no preclosure charges are levied for that loan Forced End Upon death of a borrower or if joint borrowers upon death of both the borrower If the borrower moves out of the house permanently or the borrower does not occupy the property for more than 12 months continuously with-out proper intimation or justification to the lender Legal heirs If the borrower dies during the loan tenure, the legal heirs if any, may settle the loan with the bank / financial institutions and take the property from the lender (Or) The property will be normally be sold by the borrower or the borrower's estate to pay-off the outstanding balance on the mortgage. Till the loan is closed no legal heir can claim the property s ownership. They can also close the loan after the life time of the borrower and transfer the property in their name Continued living The borrower and his/her spouse can continue to live in the same property even after the completion of loan tenure and they cannot be vacated for non-payment of loan. Advantages of Reverse Mortgage Hassle free money flow management after the retired life Threat against elders by anti-social elements on property related matters are avoided since it is mortgaged to lender(banker) Legal heirs cannot claim any settlement, or they cannot give unnecessary inconvenience on property related matter and they can only take away the property only after settling the loan with the bank Any emergency medical care can be managed by the senior without financial trouble

6 This not only takes care of the borrower but also his/her spouse Lenders (Banks) Offer Reverse Mortgage: The major reverse mortgage lenders in India or the Banks and Financial Institutions providing reverse mortgage in India: National Housing Bank Dewan Housing Finance Limited State Bank of India Punjab National Bank Indian Bank Union Bank of India IDBI Bank LIC Housing Finance Limited Andhra Bank Corporation Bank Canara Bank Bank of Baroda Central Bank of India Illustration for Reverse Mortgage: Mr. X aged 61 years of age having 1000 sq.ft of residential flat at Chennai, valuing 25 lakhs can go for a reverse mortgage loan as in below: Term 5 years, 60% Value of the Property 15 Lakhs, Rate of Interest 12%.

7 To Conclude No doubt in elderly living period money is the vital strength to meet out everything. However, the condition put forth by the lender forcing the borrower to use the house as their primarily living house does not cover the option of leading their life in Assisted Living Facilities. Mobility, Day to day Medical Care, Periodical Medical Checkups, Timely Food, Secured Accommodation etc., are highly provided in Elderly Care Centers and Assisted Living Centers at competitive cost within campus, makes the elders life highly peaceful and secured. Instead the lender can also rent out such property and realize the income on behalf of the senior by which their monthly income not only goes up but also their personal life care and living standards are kept in higher levels.

REVERSE MORTGAGE LOAN SCHEME FOR THE SENIOR CITIZENS OF DELHI

REVERSE MORTGAGE LOAN SCHEME FOR THE SENIOR CITIZENS OF DELHI REVERSE MORTGAGE LOAN SCHEME FOR THE SENIOR CITIZENS OF DELHI Concept of Reverse Mortgage Loan (RML). DCHFC proposes to introduce the new scheme of Reverse Mortgage loan announced in the Budget speech

More information

PROPERTY PAYS FOR ITS OWNER: REVERSE MORTAGAGE..

PROPERTY PAYS FOR ITS OWNER: REVERSE MORTAGAGE.. PROPERTY PAYS FOR ITS OWNER: REVERSE MORTAGAGE.. Getting into old age without proper financial support can be a very bad experience. No regular incomes, with rising cost of living can make life tough;

More information

(in Indian scenario) Authors: (1) Dr.R Venkataraman, Professor, Presidency College, Bangalore

(in Indian scenario) Authors: (1) Dr.R Venkataraman, Professor, Presidency College, Bangalore Reverse mortgage: Bringing smiles on wrinkled faces (in Indian scenario) Authors: (1) Dr.R Venkataraman, Professor, Presidency College, Bangalore Abstract (2) Archana Mishra, Asst. professor, Presidency

More information

Reverse Mortgage Scheme November 2014 REVERSE MORTGAGE LOAN

Reverse Mortgage Scheme November 2014 REVERSE MORTGAGE LOAN REVERSE MORTGAGE LOAN - Source National Housing Bank Website. Reverse mortgage is a financial product that enables senior citizens (60+) who own a house to mortgage their property with a lender and convert

More information

Reverse Mortgage Information Guide

Reverse Mortgage Information Guide Reverse Mortgage Information Guide Table of Contents FHA Reverse Mortgages 3 Common Misconceptions about Reverse Mortgages 4 How the Program Works 4 Benefits of a HECM loan 4 HECM vs. Traditional Mortgage

More information

Nationwide Mortgage Licensing System #222955

Nationwide Mortgage Licensing System #222955 Nationwide Mortgage Licensing System #222955 Senior Concerns Is your mortgage paid off? Is your Social Security and/or pension sufficient? Rising costs of living: gas, health care, food, utilities, medications,

More information

A PRODUCT FOR SENIOR CITIZENS A TECHNICAL PRESENTATION for discussion purposes only February, 2007 For restricted circulation 1 REVERSE MORTGAGE Reverse Mortgage is a mortgage loan for Senior Citizens

More information

Reverse Mortgage Is it right for you?

Reverse Mortgage Is it right for you? Reverse Mortgage Is it right for you? Reverse Mortgages are being hyped as a tremendous tool for retirement income. This type of mortgage uses part of the equity in a home as collateral. A Reverse Mortgage,

More information

Analytical study of inherent risk in reverse mortgage loans

Analytical study of inherent risk in reverse mortgage loans 2016; 2(3): 12-16 ISSN Print: 2394-7500 ISSN Online: 2394-5869 Impact Factor: 5.2 IJAR 2016; 2(3): 12-16 www.allresearchjournal.com Received: 05-01-2016 Accepted: 06-02-2016 Research Scholar at Pravara

More information

Reverse Mortgage. Loan as proportion of Assessed Value of Property

Reverse Mortgage. Loan as proportion of Assessed Value of Property Reverse Mortgage By Paul, Divya & Chakrapani, Jyoti Introduction: Reverse Mortgage is a product that will allow senior citizens to avail themselves of funds by mortgaging their residential property. The

More information

WEYBRIDGE FINANCIAL SERVICES EQUITY RELEASE QUESTIONNAIRE

WEYBRIDGE FINANCIAL SERVICES EQUITY RELEASE QUESTIONNAIRE WEYBRIDGE FINANCIAL SERVICES EQUITY RELEASE QUESTIONNAIRE PERSONAL DETAILS Title: Mr/Mrs/Miss/Ms/Other Surname First Name(s) Date of Birth Nationality Marital Status Previous/Former (e.g. Maiden) Name

More information

ON :- increased treatment. senior citizen. most of. liquidity for. Page 60

ON :- increased treatment. senior citizen. most of. liquidity for. Page 60 ISSN No. 0974-035X An Indexed Refereed Journal of Higher Education Towards Excellence UGC-ACADEMIC STAFFF COLLEGE, GUJARAT UNIVERSITY, AHMEDABAD, INDIA REVERSEE MORTGAGE Mrs Charmy Lad I NTRODUCTIO ON

More information

onsum r s ui to v rs ort s

onsum r s ui to v rs ort s onsum r s ui to v rs ort s Access Cash for Living Expenses r s o l ik om Home Mortgage Bank Prince s Court, Ground Floor Corner Keate & Pembroke Streets Port of Spain,Trinidad,W.I. Tel.(868)625-4972,627-4695

More information

WELCOME. To the Wonderful World Of Reverse Mortgages

WELCOME. To the Wonderful World Of Reverse Mortgages WELCOME To the Wonderful World Of Reverse Mortgages Reverse Mortgage Loans Borrowing Against Your Home Basic Questions: 1. Do you really need a reverse mortgage? -- Why are you interested in these loans?

More information

Is A Reverse Mortgage Right for You?

Is A Reverse Mortgage Right for You? Is A Reverse Mortgage Right for You? NewRetirement s Guide to Reverse Mortgages www.newretirement.com (877) 394-1305 Table of Contents What is a Reverse Mortgage? Are You Eligible For a Reverse Mortgage?

More information

Converting Home Equity into Income: A Reverse Mortgage Review

Converting Home Equity into Income: A Reverse Mortgage Review Converting Home Equity into Income: A Reverse Mortgage Review Are you interested in the possibility of converting equity in your home into cash without having to move or assume debt that has to be currently

More information

REVERSE MORTGAGE LOAN (RML): OPERATIONAL GUIDELINES (Awaiting approval and notification of the Government of India)

REVERSE MORTGAGE LOAN (RML): OPERATIONAL GUIDELINES (Awaiting approval and notification of the Government of India) May 13, 2008 REVERSE MORTGAGE LOAN (RML): OPERATIONAL GUIDELINES (Awaiting approval and notification of the Government of India) Introduction Senior Citizens are an increasing component of the Indian society

More information

Lump Sum Lifetime Mortgage Product Summary

Lump Sum Lifetime Mortgage Product Summary Lump Sum Lifetime Mortgage Product Summary This document is intended to provide you with an introduction to our Lump Sum Lifetime Mortgage. Aims The lump sum lifetime mortgage provides you with a cash

More information

Direct Tax (Article) Reverse Mortgage Scheme your property pays you a regular income

Direct Tax (Article) Reverse Mortgage Scheme your property pays you a regular income Direct Tax (Article) Reverse Mortgage Scheme your property pays you a regular income The information contained herein is of a general nature and is not intended to address the circumstances of any particular

More information

Reverse Mortgage Presented by Ian MacGillivray, NMLS #638502 American Capital Corporation, NMLS #264422 Phone: 505-690-1089 Website:

Reverse Mortgage Presented by Ian MacGillivray, NMLS #638502 American Capital Corporation, NMLS #264422 Phone: 505-690-1089 Website: Reverse Mortgage American Capital Corporation, Phone: 505-690-1089 Website: http://mortgagepartners-santafe.com Contents I. What Is a Reverse Mortgage? II. Benefits and Typical Uses III. Is the Home at

More information

Blackburn with Darwen Borough Council Deferred Payments Scheme

Blackburn with Darwen Borough Council Deferred Payments Scheme Blackburn with Darwen Borough Council Deferred Payments Scheme A guide to Deferred Payments paying for residential care or nursing care if you own your own home. 1 What is the Deferred Payments Scheme?

More information

Guide to Reverse Mortgages

Guide to Reverse Mortgages Guide to Reverse Mortgages Prepared by Steve Juetten, CFP Juetten Personal Financial Planning, LLC. www.finpath.com 425-373-9393 Disclaimer: the information in this report was prepared from reliable sources;

More information

Equity Release Guide. Helping you make the right decision. nationwide service all lenders available personal visits. www.therightequityrelease.co.

Equity Release Guide. Helping you make the right decision. nationwide service all lenders available personal visits. www.therightequityrelease.co. Equity Release Guide 0800 612 5749 www.therightequityrelease.co.uk Helping you make the right decision nationwide service all lenders available personal visits 1 Welcome to The Right Equity Release Who

More information

Frequently Asked Questions

Frequently Asked Questions Frequently Asked Questions 1. What is a reverse mortgage? 2. How does a reverse mortgage differ from a home equity loan? 3. What are the advantages of a reverse mortgage? 4. How much money can I get? 5.

More information

largeequityrelease.com EQUITY RELEASE GUIDE Speak to one of our specialists today on 020 3824 0904

largeequityrelease.com EQUITY RELEASE GUIDE Speak to one of our specialists today on 020 3824 0904 largeequityrelease.com EQUITY RELEASE GUIDE Speak to one of our specialists today on 020 3824 0904 CONTENTS What is equity release?... 3 How much money could I raise through an equity release?... 4 What

More information

National Housing Bank REVERSE MORTGAGE LOAN (RML): OPERATIONAL GUIDELINES

National Housing Bank REVERSE MORTGAGE LOAN (RML): OPERATIONAL GUIDELINES REVERSE MORTGAGE LOAN (RML): OPERATIONAL GUIDELINES Introduction Senior Citizens are an increasing component of the Indian society and dependency in old age is increasing in the country. While on the one

More information

Housing Finance being one of the safest lending avenues has. also contributed to the emergence of new players in the market.not

Housing Finance being one of the safest lending avenues has. also contributed to the emergence of new players in the market.not Introduction: Housing Finance being one of the safest lending avenues has also contributed to the emergence of new players in the market.not only home loans easily available, with intense competition in

More information

Enhance Your Financial Security

Enhance Your Financial Security Enhance Your Financial Security With a Home Equity Conversion Mortgage Many homeowners across the nation have chosen a Home Equity Conversion Mortgage (HECM) to help them meet financial and personal goals.

More information

Most Important Terms & Conditions (Approved by the RMC at its meeting held on 9 th. J une 2015)

Most Important Terms & Conditions (Approved by the RMC at its meeting held on 9 th. J une 2015) INDIABULLS HOUSING FINANCE LIMITED Most Important Terms & Conditions (Approved by the RMC at its meeting held on 9 th. J une 2015) Indiabulls MITC elaborates the terms and conditions with respect to the

More information

Loan for property (Courtesy: Economic Times, apnaloan & apnapaisa, Accommodation times, i-save & others)

Loan for property (Courtesy: Economic Times, apnaloan & apnapaisa, Accommodation times, i-save & others) Loan for property (Courtesy: Economic Times, apnaloan & apnapaisa, Accommodation times, i-save & others) Frequently Asked Questions: Q. What are the steps involve in the process of loan & what fees it

More information

Chadwick s. Equity Release

Chadwick s. Equity Release c Independent Chadwick s Financial Advisers Equity Release Contents Chadwick s IFA Page 4 Equity Release Page 5 Lifetime Mortgages Page 6 Home Reversion Schemes Page 7 Considerations Pages 8&9 Safe Guards

More information

Reverse Mortgages A Source of Funds for Retirement?

Reverse Mortgages A Source of Funds for Retirement? Reverse Mortgages A Source of Funds for Retirement? Many people make it a goal of their financial lives to invest in a home. It is a great accomplishment when that last mortgage payment is made. Can a

More information

Your Guide to Equity Release

Your Guide to Equity Release Equity release has provided me with financial stability. I now have the opportunity to help my family, go on holiday, and make some home improvements. Mr W, East Sussex Your Guide to Equity Release Contents

More information

Is a Reverse Mortgage Right for You?

Is a Reverse Mortgage Right for You? The information contained herein has been obtained from sources that we believe to be reliable, but its accuracy and completeness are not guaranteed. Any examples shown on this website are purely hypothetical

More information

A Smart Choice Learn How The New Reverse Mortgage May Fit Into Your Retirement Plan.

A Smart Choice Learn How The New Reverse Mortgage May Fit Into Your Retirement Plan. A Smart Choice Learn How The New Reverse Mortgage May Fit Into Your Retirement Plan. Retire With Confidence For years you ve planned for your retirement. Along the way, you ve made lots of smart decisions,

More information

Enhance Your Financial Security. With a Home Equity Conversion Mortgage

Enhance Your Financial Security. With a Home Equity Conversion Mortgage Enhance Your Financial Security With a Home Equity Conversion Mortgage 1 Call for Additional Information 925-258-0386 1 Unlock Your Home s Equity We understand that you want to transition easily into the

More information

Converting Home Equity into Income: AReverseMortgageReview

Converting Home Equity into Income: AReverseMortgageReview Converting Home Equity into Income: AReverseMortgageReview Are you interested in the possibility of converting equity in your home into cash without having to move or assume debt that has to be currently

More information

The Deferred Payments Scheme. An information leaflet for home owners, paying for residential or nursing home care

The Deferred Payments Scheme. An information leaflet for home owners, paying for residential or nursing home care The Deferred Payments Scheme An information leaflet for home owners, paying for residential or nursing home care What is the Deferred Payment Scheme? The deferred payment scheme is designed to help if

More information

Your guide to. Equity Release. with no obligation

Your guide to. Equity Release. with no obligation Your guide to Equity Release Expert advice with no obligation Your introduction to equity release Your retirement should give you the freedom to do all the things in life you haven t had time for. However,

More information

Your Guide to Equity Release

Your Guide to Equity Release Equity release has enabled me to go on more holidays, purchase a new car and make some major household purchases. The service provided met our financial needs in an efficient and helpful way. John, Sutton

More information

EQUITY RELEASE GUIDE. Everything you need to know about equity release.

EQUITY RELEASE GUIDE. Everything you need to know about equity release. EQUITY RELEASE GUIDE Everything you need to know about equity release. An informative guide from the equity release specialists The informative guide to equity release... Equity release has come a long

More information

Put your home to work for you

Put your home to work for you Put your home to work for you Sara A. Cornwall 2507 Post Road, Southport CT 06890 Phone: 203-319-5014 Email: Sara.Cornwall@WellsFargo.com What is a reverse mortgage It s a home loan that enables you to

More information

Credit Guarantee Fund Trust for Micro and Small Entreprises (CGTMSE) Presentation on Credit Guarantee Scheme

Credit Guarantee Fund Trust for Micro and Small Entreprises (CGTMSE) Presentation on Credit Guarantee Scheme Credit Guarantee Fund Trust for Micro and Small Entreprises (CGTMSE) Presentation on Credit Guarantee Scheme MSE as defined in MSMED Act 2006 Micro and Small Enterprises (MSE) in India MSE is governed

More information

Reverse Mortgage. That s what we re here for. Financial freedom to do the things you ve always wanted. Here for good.

Reverse Mortgage. That s what we re here for. Financial freedom to do the things you ve always wanted. Here for good. Reverse Mortgage Financial freedom to do the things you ve always wanted That s what we re here for. Here for good. Contents 2 The freedom of a Reverse Mortgage 3 Product overview 4 About Reverse Mortgages

More information

Note: The paid up value would be payable only on due maturity of the policy.

Note: The paid up value would be payable only on due maturity of the policy. Section II Question 6 The earning member of a family aged 35 years expects to earn till next 25 years. He expects an annual growth of 8% in his existing net income of Rs. 5 lakh p.a. If he considers an

More information

Information on: Deferred Payment Scheme

Information on: Deferred Payment Scheme Information on: Deferred Payment Scheme From 1 April 2015 Introduction From April 2015 the way care and support is provided is changing for the better. The Care Act 2014 is a recent piece of legislation

More information

A monthly publication from South Indian Bank. www.sib.co.in. To kindle interest in economic affairs... To empower the student community...

A monthly publication from South Indian Bank. www.sib.co.in. To kindle interest in economic affairs... To empower the student community... To kindle interest in economic affairs... To empower the student community... Open YAccess www.sib.co.in ho2099@sib.co.in A monthly publication from South Indian Bank Experience Next Generation Banking

More information

REVERSE MORTGAGE LOAN APPLICATION FORM

REVERSE MORTGAGE LOAN APPLICATION FORM REVERSE MORTGAGE LOAN APPLICATION FORM Recent Photo of Main Applicant Recent Photo of Spouse (wherever applicable) INSTRUCTIONS: 1. Please use BLOCK LETTERS 2. All details must be filled in. If not applicable,

More information

Deferred Payment Agreement Factsheet

Deferred Payment Agreement Factsheet Deferred Payment Agreement Factsheet What is a Deferred Payment Agreement? Deferred Payment Agreements are designed to help you if you have been assessed as having to pay the full cost of your residential

More information

Deferred Payment Scheme Information and guidance 2015/16

Deferred Payment Scheme Information and guidance 2015/16 Deferred Payment Scheme Information and guidance 2015/16 What is the Deferred Payment Scheme? The Deferred Payment Scheme is designed to prevent people from having to sell their home, in their lifetime,

More information

Retirement Mortgage Product summary

Retirement Mortgage Product summary Retirement Mortgage Product summary The Retirement Mortgage from Hodge Lifetime provides you with a flexible way to borrow money in retirement. A legal charge is secured on your home. AIMS The Retirement

More information

The Reverse Mortgage Opportunity. Today s Solution to your Peace of Mind

The Reverse Mortgage Opportunity. Today s Solution to your Peace of Mind The Reverse Mortgage Opportunity Today s Solution to your Peace of Mind The 2009 Retirement Environment 2008 Market downturn Net worth losses portfolio restrictions Age restrictions on employment Travel

More information

Deferred Payments. A guide to. Paying for residential care if you own your home

Deferred Payments. A guide to. Paying for residential care if you own your home Deferred Payments A guide to Paying for residential care if you own your home What is the deferred payment scheme? If you are a home owner moving to residential care this scheme is designed to assist you

More information

Welcome to our Reverse Mortgage Servicing Department

Welcome to our Reverse Mortgage Servicing Department Welcome to our Reverse Mortgage Servicing Department New Loan Reference Booklet Reverse Mortgage Frequently Asked Questions 1. HOW CAN I REQUEST FUNDS FROM MY LINE OF CREDIT? If you selected a line of

More information

L.K. Benson & Company Lyle Benson, CPA/PFS, CFP 1107 Kenilworth Dr, Suite 302 Baltimore, MD 21204 410-494-6680 lyle@lkbenson.com www.lkbenson.

L.K. Benson & Company Lyle Benson, CPA/PFS, CFP 1107 Kenilworth Dr, Suite 302 Baltimore, MD 21204 410-494-6680 lyle@lkbenson.com www.lkbenson. L.K. Benson & Company Lyle Benson, CPA/PFS, CFP 1107 Kenilworth Dr, Suite 302 Baltimore, MD 21204 410-494-6680 lyle@lkbenson.com www.lkbenson.com Reverse Mortgages Page 1 of 6, see disclaimer on final

More information

Deferred Payments. Information for people moving into residential care who own a property

Deferred Payments. Information for people moving into residential care who own a property Deferred Payments Information for people moving into residential care who own a property Deferred Payments The Deferred Payment Scheme is designed to help you if you have been assessed as having to pay

More information

The following information is provided to you by U.S. Department of Housing and Urban Development.

The following information is provided to you by U.S. Department of Housing and Urban Development. The following information is provided to you by U.S. Department of Housing and Urban Development. Attachment C: Resources for Clients C.1 Important Information about Reverse Mortgage Counselors C.2 Reverse

More information

Summary What is a Reverse Equity Options Mortgage? Closing Costs Who would apply for this When is the mortgage paid type of loan? back?

Summary What is a Reverse Equity Options Mortgage? Closing Costs Who would apply for this When is the mortgage paid type of loan? back? Reverse Mortgage Credit Union Mortgage Association 9693-A Main Street Fairfax, VA 22031 Toll Free: (800) 231-8855 Ext. 128 Local: (703) 425-1204 Ext. 128 www.cumortgage.net Summary What is a Reverse Mortgage?

More information

Reverse. Mortgage. Presentation

Reverse. Mortgage. Presentation Reverse Mortgage Presentation Copyright 2004, 2005, 2006 by National Reverse Mortgage Education Center All rights reserved Overview Enables homeowners age 62 and older to turn a portion of their home s

More information

LOAN TO VALUE (LTV) RATIO RBI

LOAN TO VALUE (LTV) RATIO RBI LOAN TO VALUE (LTV) RATIO RBI In order to prevent excessive leveraging, the LTV ratio in respect of housing loans should not exceed 80 per cent. However, for small value housing loans i.e. housing loans

More information

REVERSE MORTGAGE GUIDE

REVERSE MORTGAGE GUIDE REVERSE MORTGAGE GUIDE Retire comfortably with a Reverse Mortgage CRAIG MINTON - AMERICAN NATIONWIDE MORTGAGE - 757-254-1331 Introduction Hello my name is Craig Minton, Regional Manager and Reverse Mortgage

More information

Your retirement could have even more going for it

Your retirement could have even more going for it Your retirement could have even more going for it A straightforward guide to equity release For no obligation advice: call 0800 015 0993 www.justretirementsolutions.com Contents Imagine what you could

More information

A Definitive Guide on Reverse Mortgages

A Definitive Guide on Reverse Mortgages A Definitive Guide on Reverse Mortgages A reverse mortgage is a process through which a loan is made available to senior citizens against their home equity. Unlike conventional mortgage or other traditional

More information

LEVEL 3 - UNIT 15 - THE PRACTICE OF LAW FOR THE ELDERLY CLIENT SUGGESTED ANSWERS JANUARY 2011

LEVEL 3 - UNIT 15 - THE PRACTICE OF LAW FOR THE ELDERLY CLIENT SUGGESTED ANSWERS JANUARY 2011 LEVEL 3 - UNIT 15 - THE PRACTICE OF LAW FOR THE ELDERLY CLIENT SUGGESTED ANSWERS JANUARY 2011 Note to Candidates and Tutors: The purpose of the suggested answers is to provide students and tutors with

More information

Your Reverse Mortgage Guide. Reaping The Rewards Of A Lifetime Investment In Homeownership

Your Reverse Mortgage Guide. Reaping The Rewards Of A Lifetime Investment In Homeownership Your Reverse Mortgage Guide Reaping The Rewards Of A Lifetime Investment In Homeownership Contents Make The Most Of Retirement!...3 Program Overview...3 4 What Is A Reverse Mortgage? Why Get A Reverse

More information

POLICY FOR THE BREATHING SPACE SCHEME

POLICY FOR THE BREATHING SPACE SCHEME POLICY FOR THE BREATHING SPACE SCHEME PREFACE The Council is participating in a regional scheme called Breathing Space. The scheme facilitates the provision of loans in accordance with powers given under

More information

WHAT IS EQUITY RELEASE? WHY CONSIDER EQUITY RELEASE?

WHAT IS EQUITY RELEASE? WHY CONSIDER EQUITY RELEASE? WHAT IS EQUITY RELEASE? Equity Release can free some of the capital tied up in your home, while you continue to live there. This money can be in the form of a tax-free lump sum, a regular income or a combination

More information

www.westsussex.gov.uk/social-care-and-health Deferred payments What do I need to know?

www.westsussex.gov.uk/social-care-and-health Deferred payments What do I need to know? www.westsussex.gov.uk/social-care-and-health Deferred payments What do I need to know? www.westsussex.gov.uk/social-care-and-health What is a deferred payment agreement? A deferred payment agreement is

More information

IT S MORTGAGE REVERSE A SIGN OF THE TIMES

IT S MORTGAGE REVERSE A SIGN OF THE TIMES IT S A SIGN OF THE TIMES REVERSE MORTGAGE UNLOCK THE EQUITY IN YOUR HOME If you want the financial freedom to spend your retirement how you choose, with independence and dignity, you should talk to us.

More information

Table of Contents. Enjoy your retirement years 1. Loan App: Checklist 7

Table of Contents. Enjoy your retirement years 1. Loan App: Checklist 7 Table of Contents Enjoy your retirement years 1 Program Overview Why get a HECM? 1 HECM vs. Traditional Mortgages 1 HECM Benefits 1 Loan App: Checklist 7 Contact Information 8 Q and A 2 HECM SAVER Overview

More information

Reverse Mortgage Education

Reverse Mortgage Education Reverse Mortgage Education Preface As people are continually living longer, they must plan financially to make sure their money outlives them, instead of outliving their money. As pension plans get cut

More information

CAVENDISH EQUITY RELEASE. The Essential Guide. Equity Release TRUSTED & IMPARTIAL ADVICE SINCE 1985

CAVENDISH EQUITY RELEASE. The Essential Guide. Equity Release TRUSTED & IMPARTIAL ADVICE SINCE 1985 CAVENDISH Equity Release TRUSTED & IMPARTIAL ADVICE SINCE 1985 EQUITY RELEASE The Essential Guide INDEX Welcome to Cavendish Equity Release 3 How can Equity Release be used? 4 Why is specialist advice

More information

Equity Release Guide. www.seniorissues.co.uk

Equity Release Guide. www.seniorissues.co.uk Equity Release Guide www.seniorissues.co.uk For more information or to speak to one of our trained advisers please telephone our Senior Issues Team on 0845 855 4411 The Caesar & Howie Group 7/3/2008 EQUITY

More information

Source: Genworth Financial Home Equity Access, Inc. Reverse Mortgage Study- 10/2008 2

Source: Genworth Financial Home Equity Access, Inc. Reverse Mortgage Study- 10/2008 2 REVERSE MORTGAGES 1 Source: Genworth Financial Home Equity Access, Inc. Reverse Mortgage Study- 10/2008 2 Benefits of a Reverse Mortgage Senior will receive money without having to leave their home No

More information

Frequently asked questions for advisors

Frequently asked questions for advisors 1. How does your client qualify for a reverse mortgage? To become eligible for a reverse mortgage, the borrower must be at least 62 years old and own their home And have enough equity in the house to pay

More information

ALL YOU NEED TO KNOW.

ALL YOU NEED TO KNOW. LIFETIME MORTGAGE LIFETIME MORTGAGES ALL YOU NEED TO KNOW 1 ALL YOU NEED TO KNOW. 2 LIFETIME MORTGAGES ALL YOU NEED TO KNOW CONTENTS 1. IntrODUCTION 2. AbOUT lifetime mortgages 3. FeaturES of our lifetime

More information

Part 1 General Provisions

Part 1 General Provisions Effective 5/12/2015 Chapter 28 Utah Reverse Mortgage Act Part 1 General Provisions 57-28-101 Title. (1) This chapter is known as the "Utah Reverse Mortgage Act." (2) This part is known as "General Provisions."

More information

2. Line of Credit: Borrowers have the option of setting up a line of credit (a cash account ) and drawing funds whenever they wish.

2. Line of Credit: Borrowers have the option of setting up a line of credit (a cash account ) and drawing funds whenever they wish. Reverse Mortgage Prosperity The Power of the Reverse Mortgage By: Andreas Keller Published: 2014 As baby boomers face retirement, television ads are becoming daily reminders that equity in our homes is

More information

Deferred Payment Agreements

Deferred Payment Agreements Deferred Payment Agreements Paying for your Care in a Home Barnet Council s Deferred Payment Scheme What is a Deferred Payment Agreement? A Deferred Payment Agreement is an arrangement with the Council

More information

Reverse Mortgages Overview

Reverse Mortgages Overview Reverse Mortgages Overview An Overview of Reverse Mortgages In 1987 President Ronald Reagan authorized the Department of Housing and Urban Development (HUD) to create the Home Equity Conversion Mortgage

More information

Government mortgage rescue scheme What will it mean for me and my family?

Government mortgage rescue scheme What will it mean for me and my family? Government mortgage rescue scheme What will it mean for me and my family? What is mortgage rescue? Mortgage rescue is help that the Government is offering if: you are struggling to keep up with your mortgage

More information

1-800-290-3521 Extension 415 A Connecticut Company. Providing Our Clients With Excellent Opportunities... Outstanding Results

1-800-290-3521 Extension 415 A Connecticut Company. Providing Our Clients With Excellent Opportunities... Outstanding Results Reverse Mortgage Basics What is a reverse mortgage? The reverse mortgage is a safe and easy way for seniors to turn their home s equity into an additional source of income to meet any financial need. It

More information

Loan Application Form

Loan Application Form Regd. Office : 9th floor, Antriksh Bhawan, 22, Kasturba Gandhi Marg, New Delhi - 110 001 Website : www.pnbhfl.com Loan Application Form INSTRUCTIONS 1 Please write all the information in BLOCK LETTERS.

More information

Reverse Mortgage Information

Reverse Mortgage Information Reverse Mortgage Information A reverse mortgage is a special type of loan used by older Americans to convert the equity in their homes into cash. The money from a reverse mortgage can provide seniors with

More information

Flexible Lifetime Mortgage Product Summary

Flexible Lifetime Mortgage Product Summary Flexible Lifetime Mortgage Product Summary The Flexible Lifetime Mortgage provides you with an initial cash sum in the form of a mortgage loan. A legal charge is secured on your home. For as long as you

More information

The New Tool For Retirement Income Planning. Presented by: Becky Bell, Regional VP, Mortgage Banking

The New Tool For Retirement Income Planning. Presented by: Becky Bell, Regional VP, Mortgage Banking The New Tool For Retirement Income Planning Presented by: Becky Bell, Regional VP, Mortgage Banking Why Consider a Reverse Mortgage? Allows Clients to Take a Dormant Asset (Home Equity) and Put it to Work

More information

PENNSYLVANIA STATE SYSTEM OF HIGHER EDUCATION ALTERNATIVE RETIREMENT PLAN SUMMARY PLAN DESCRIPTION

PENNSYLVANIA STATE SYSTEM OF HIGHER EDUCATION ALTERNATIVE RETIREMENT PLAN SUMMARY PLAN DESCRIPTION PENNSYLVANIA STATE SYSTEM OF HIGHER EDUCATION ALTERNATIVE RETIREMENT PLAN SUMMARY PLAN DESCRIPTION TABLE OF CONTENTS INTRODUCTION TO YOUR PLAN Article I. PARTICIPATION IN THE PLAN... 1 Am I eligible to

More information

NOTICE TO MERCHANT BANKS MONETARY AUTHORITY OF SINGAPORE ACT, CAP 186

NOTICE TO MERCHANT BANKS MONETARY AUTHORITY OF SINGAPORE ACT, CAP 186 MAS 1106 13 January 2011 NOTICE TO MERCHANT BANKS MONETARY AUTHORITY OF SINGAPORE ACT, CAP 186 MAS Notice 1106 dated 30 August 2002 is cancelled. RESIDENTIAL PROPERTY LOANS 1. This Notice is issued pursuant

More information

Is a Reverse Mortgage. the right answer for you or a loved one? Get the facts.

Is a Reverse Mortgage. the right answer for you or a loved one? Get the facts. Is a Reverse Mortgage the right answer for you or a loved one? Get the facts. H ome is a special place. Whether it s been in your family for generations or you ve lived there only for a short time, you

More information

Secure your financial future with a Reverse Mortgage today!

Secure your financial future with a Reverse Mortgage today! Secure your financial future with a Reverse Mortgage today! 1 What Are Your Retirement Goals? Are you on track to meet your needs and satisfy your wants, now and in the future? Pay off your existing mortgage*

More information

Seniors Reverse Mortgage Fact File and Answers to Frequently Asked Questions

Seniors Reverse Mortgage Fact File and Answers to Frequently Asked Questions Seniors Reverse Mortgage Fact File and Answers to Frequently Asked Questions A public information service from Access Reverse Mortgage 1-888-340-0305 2014 Access Reverse Mortgage Corp.. All rights reserved.

More information

Senior Concerns. Will you outlive your money?

Senior Concerns. Will you outlive your money? NMLS #64997 Senior Concerns Is your mortgage paid off? Is your Social Security and/or pension sufficient? Rising costs of living: gas, health care, food, utilities, medications, etc. Fixed income with

More information

Reverse Mortgages: Reversal of Fortune?

Reverse Mortgages: Reversal of Fortune? Reverse Mortgages: Reversal of Fortune? Certainly The Fonz would not lead us astray. Nor would Senator Fred Thompson. After all, he ran for President of the United States and played the President in several

More information