Reverse Mortgage Loan Repayment & Loan Servicing Facts
The challenge that many seniors face today is that, no matter how well they planned for their retirement, the rules and realities of life have changed and having access to the equity in one’s home to use as an additional financial resource has become a necessity. A reverse mortgage loan can give you that necessary financial resource.
However, if you, your family members, or your advisor are confused about the reverse mortgage loan repayment process or would like to better understand reverse mortgage loan servicing, please read the detailed information, below.
The Best Examples of the Flexibility and Consumer-Friendliness of a Reverse Mortgage Are Your Options for a Reverse Mortgage Loan Repayment
Any homeowner that has had a traditional mortgage knows the rules for paying back their mortgage. Every month, until the loan is paid in full, you make a predetermined payment. You cannot pay a smaller amount in the months when your cash flow is tight, and if you pay more than the required amount this does not reduce the next payment.The payment must be made on time every month, or you pay a penalty, and if you are unable to make your payments the lender will foreclose and take your home and all your acquired equity.
The reverse mortgage loan repayment is different than your traditional mortgage loan repayment.