Considering a reverse mortgage? Clearpoint Credit Counseling Solutions professionals are here to guide you.
A reverse mortgage, also called Home Equity Conversion Mortgages (HECM), is a loan against your home that you do not have to pay back for as long as you live there. It allows senior homeowners (age 62 or older) to turn their home’s equity into available cash.
Unlike traditional mortgages, in which the debt reduces as you make payments, reverse mortgages are “rising debt, falling equity” loans. This means the debt increases as you make withdrawals against the equity in your home. The cash you receive from a reverse mortgage can be paid to you in several ways:
You are not required to repay the principal, interest or servicing fees as long as you live in your home and meet the basic requirements of the loan (see below).
To be considered for a reverse mortgage, the Department of Housing and Urban Development (HUD)’s Federal Housing Administration (FHA) requires that you must:
Please call 800.467.0906 to schedule an appointment by phone for a Reverse Mortgage Counseling session with an experienced housing counselor, or in-person at a branch office.