Reverse Mortgage in St. Louis, MO
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By Dave Mattull
First—Am I Eligible?
To be eligible for a reverse mortgage, you must:
- Be at least 62 years old
- Live in the home as your primary residence
- Have sufficient home equity
- Not be delinquent on any federal debt
Also, your home must:
- Meet FHA (Federal Housing Administration) property standards
- Be one of the following property types
- Single-family home
- Two-to four-unit home with one unit occupied by the borrower
- FHA-approved condominium
How Much Money Can I Get?
This depends upon a number of factors, including the age of the youngest borrower or non-borrowing spouse, your home value, the amount of equity, FHA lending limits, the current interest rate, and the reverse mortgage product and payment option you choose.
Using Home Equity as a Retirement Asset:
Why should I consider a reverse mortgage?
Your retirement funds may come from savings, investment income, and Social Security. But now, there’s another source that may help you complete the longevity planning puzzle. Reverse mortgages are becoming increasingly recognized by homeowners and financial advisors as a smart and safe way to access an important retirement asset: Home Equity.
A reverse mortgage could help you live more comfortably and be more financially prepared for the future.
For example, you can use a reverse mortgage to:
- Avoid selling investments at a loss in a “down” market
- Establish a “stand-by” line of credit that you can tap as needed. Unlike a traditional Home Equity Line of Credit (HELOC), a reverse mortgage line of credit cannot be reduced or revoked, as long as the terms of the loan are met. And the unused line of credit grows over time.
- Supplement retirement income
- Delay collecting Social Security, for a larger monthly benefit
- Pay for medical or long-term care costs
- Finance the purchase of a more suitable home, with no monthly mortgage payments
Among the benefits of a reverse mortgage:
- The ability to use your home equity to help you maintain a more comfortable standard of living, in your own home
- Great flexibility. You can choose to take your proceeds as a line of credit; monthly advances for a set period of time; a monthly stream of funds for as long as you live in your home; a lump sum; or a combination of these options.
- No monthly mortgage payments. If you qualify and have an existing mortgage, home equity loan or any other type of debt, you can pay it off and reduce your monthly expenses. Or, if you own your home free-and-clear, you can get the additional funds you need with no minimum monthly repayments required. (As the homeowner, you remain responsible for paying property taxes, homeowners insurance, and homeowner’s association dues if applicable.)
- Opportunity to have funds for travel.
- A cushion for the unexpected.
Remember: You still own your home and you can stay in your home as long as you want or you can sell the home to anyone and receive any remaining equity after the loan is paid off.
For any questions that you may have contact SVP Dave Mattull.
Dave Mattull
Senior Vice President
Reverse Mortgage Specialist
First Integrity Mortgage Services
Cell: 314-570-4970
Office: 314-878-7900
Fax: 314-878-5636
NMLS #241253
davem@firstintegrity.com