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Reverse mortgage question

Purchased my home 20 years ago with a 30 year mortgage loan for $120,000, home is now valued at $600,000. I refinanced once to reduce the term of the loan by 5 years and I plan to retire once my mortgage is paid off. I have minimal retirement savings ($45,000). Would you recommend selling the house to finance my retirement or choosing a reverse mortgage loan? by M_Wazerati from Soquel, California. Apr 2nd 2013 Reply


William J Acres (William_Acres)
#1 ranked lender in Arizona - 8,626 contributions

The only person qualified to answer that question is you.. and you didn't provide nearly enough info to properly answer your question.. How soon will you retire, what are your retirement goals.. do you plan on staying in the same community or eventually moving.. how much monthly income would be necessary to sustain your lifestyle.. just too much info missing.. The best advice I can give you is to contact a LOCAL mortgage broker, and apply with them.. Do not use the local "Big" bank, and certainly not one of those 50 states internet lenders...By applying with your LOCAL Broker, you have an advantage because he's familiar with local customs and works with numerous lenders, seeking out the best loan terms for your particular scenario. Because he has lower overhead, he can offer you lower rates and lower fees than most of the larger lenders.. I'm a Broker here in Scottsdale AZ and I only lend in Arizona. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 WilliamAcres.com

Apr 2nd 2013
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Michelle Curtis Loan Originator NMLS 401173 (EmbassyFundingLLC)
#76 ranked lender in Florida - 2,240 contributions

We would need to speak with you to find out more about your situation but from what you have said it sounds as if you would qualify for a reverse as long as you are 62 or older.Call us or email us at 201-962-3555 or Team@BestMortgageOption.com for ano cost no obligation analysis of your situation.Ask for Michelle or Benny We will find the Best Mortgage Option to suit your needs!You can check us out at www.BestMortgageOption.com

Apr 2nd 2013
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Peter Savino (855411LEND)
#100 ranked lender in New Jersey - 332 contributions

If you feel you want to stay in the house, then a reverse mortgage is the way to go. Selling the home means you have to find another place to live. The value of that , may eat into the funds you recieved from the sale. Speak to a Reverse Mtg Loan officers and have them run the numbers. Once you have numbers you will have a better picture of which way to go.

Apr 2nd 2013
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Ken Burrows (mortgagesforamerica)
#19 ranked lender in Nevada - 572 contributions

It is best to do a reverse mortgage as you save quite a bit of money on taxes from capital gains if you sell the property. Furthermore you can write off the interest from the reverse mortgage. We can help you in CA, please let me know if you have any further questions. P: 888-320-7888 - Ken@MortgagesforAmerica.org - Ken Burrows

Apr 2nd 2013
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Pete Katsafados (Katsafados)
#685 ranked lender in California - 1 contribution

You should check with your CPA on what the tax consequence would be by selling your home. Something to keep in mind about a reverse mortgage would be that it allows you to obtain a lump sum upfront from the equity in your house and would not require any form of mortgage payment or repayment of the amount for as long as you live. It allows you to keep your home and live comfortable lifestyle. When a homeowner who has a reverse mortgage passes away there is a time period for the heirs to either refinance the home to payoff the reverse mortgage or sell the house to payoff the remaining balance and the net proceeds (if any) can be kept by the heirs. The heirs are not responsible if the amount owed to the lender is more then the home is worth. It could be a good option but you would have to look at your overall picture to see if is best suited for you. I hope this helps. Feel free to contact me if you have further questions. Pete KatsafadosRate One Financial626-991-0412

Apr 2nd 2013
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Greg Caton (GCATON12)
#69 ranked lender in Utah - 5 contributions

It all depends on if that is the home you want to live in for retirement. If it is then you should do a reverse mortgage, because it will finance your retirement and allow you to stay in the home with no payment on it other then taxes and insurance. Email or call me of you would like more information. gregory.caton@snmc.com and/or (866)358-9669.Thanks,Greg CatonSecurity National Mortgage

Apr 2nd 2013
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Hi Mr. Wazerati,My name is David Aulicino and I have been in lending for 22 years, specializing in Reverse mortgages for the past 9, personally closing approximately 500 Reverse mortgages. The real answer to your question is do you like your home, the area, etc., and would you like to stay there?? You could sell and relocate if you think that would be in your best interest. Or, if you'd like to stay, a Reverse mortgage would offer you access to a portion of your equity that you could access in a variety of manners to supplement your retirement income. I'd be happy to send you some complimentary estimates and information at no cost to you, so you could explore your options. My toll-free # is 1-877-383-7736, or be email at daulicino@ambmortgage.com. Thank you and I look forward to assisting your further!David

Apr 2nd 2013
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