What is a Home Equity Conversion Mortgage (HECM)*?
A HECM reverse mortgage loan is a way to turn a portion of the equity in your home into cash.
The proceeds from a reverse mortgage can be used to pay for unexpected expenses, such as nursing home costs or long-term care. It could also provide you with additional cash flow for all the expenses you have. As long as all loan terms are met, the loan does not require repayment until the last surviving borrower permanently moves out of the home, or passes away.
Maybe you have your house paid off or are close to paying it off. Maybe you are still working at 62 or have enough money in your retirement account. Utilizing a reverse mortgage with the equity that you have worked hard to create may be a great option to increasing cash flow in retirement. As many people say, the only thing certain about the future is that it is uncertain. The peace of mind that comes from knowing money is available no matter what is in your future is hard to place a value on.
*Most, but not all, reverse mortgages today are federally insured through the Federal Housing Administration’s Home Equity Conversion Mortgage (HECM) Program. This advertisement talks about HECM loans only.
Editor’s Note: This article was submitted by Bill Niehus and Stacie Streets. They are Reverse Mortgage Planners with Fairway Independent Mortgage Corporation and may be reached at 719-650-2620 or 661-802-9111 or by email at firstname.lastname@example.org or email@example.com.
Copyright©2018 Fairway Independent Mortgage Corporation (“Fairway”) NMLS#2289. 4750 S. Biltmore Lane, Madison, WI 53718, 1-877-699-0353. All rights reserved. Fairway is not affiliated with any government agencies. These materials are not from HUD or FHA and were not approved by HUD or a government agency. This is not an offer to enter into an agreement. Not all customers will qualify. Information, rates and programs are subject to change without notice. All products are subject to credit and property approval. Other restrictions and limitations may apply.
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