What is a reverse mortgage, and do I need one?
While a regular mortgage requires you to make monthly payments to a lender, a reverse mortgage allows you to receive money from the lender based on the equity in your house. You generally do not have to pay back this money for as long as you live in your house. Instead, the loan is repaid when you die or sell your house, or your house is no longer your primary residence. Once the loan is repaid, any remaining equity is retained by you or your heirs. The proceeds from a reverse mortgage are generally tax-free and do not affect your eligibility for Medicare or Social Security, but may affect eligibility for other government benefits. A reverse mortgage is not income or credit-based, but you must be at least 62 years old, and meet other requirements to qualify. Lenders often charge a number of additional fees, including origination and service fees and closing costs, to provide you with a reverse mortgage which is also subject to interest rates which will increase your total outstanding d
