Is a PRIMARQ Agreement a reverse mortgage?
No A reverse mortgage is a financing tool (specifically, a loan) which enable seniors to access funds against the value of their home over a period of time. The interest is capitalized so that no payments are required. Upon sale, like other mortgage products, the reverse mortgage needs to be paid off in full before any equity is distributed to the owner. PRIMARQ transactions, on the other hand, entail the sale of a percentage of the equity in the home. It is not a loan, does not accrue any interest, and, upon sale, all equity holders (you and the investor) receive proceeds after all loans are paid off.
