What are the disadvantages of a reverse mortgage?
• Reverse mortgage fees can be high, although the fees are often rolled into the loan and not paid upfront. A reverse mortgage can cost thousands more than a conventional mortgage. • Reverse mortgages are complex and counter-intuitive to most people used to paying down a traditional mortgage most of their adult lives. It is particularly important for homeowners to do their homework, get sound advice and be certain they understand what they are doing. • Reverse mortgages will reduce the size of (or possibly eliminate) the estate left to heirs. # Reverse mortgages will reduce the size of (or possibly eliminate) the estate left to heirs.
