Here are of some of the benefits of the reverse mortgage loan.
No Income Restriction: A reverse mortgage program has no income requirements. You only have to show you can keep it insured and pay the taxes. It cares about your age (62+) and the equity in your property.
Free From Your Existing Loans: Your existing loans will be paid off by the reverse mortgage.
No More Monthly Payments: Make no more monthly payments ever, as long as you live in your home.
Tax-Free Monthly Cash Flow: You can choose to receive tax-free monthly payments for life, or a one time lump sum pay out.
Government Insured: Reverse Mortgages are government backed loans insured by the Federal Housing Administration (FHA) and the Department of Housing and Urban Development (HUD).
Use the Proceeds for Any Purpose: The loan proceeds can be used to pay off credit cards, medical bills, or anything you would like. Or, simply enjoy the benefit of never making another house payment as long as you live in your home.
No Prepayment Penalty: You may terminate the loan at any time by paying off the balance without any penalty. Your heirs would have the option to do the same.
Limit on the Amount You Owe: You will never owe more that the appraised value of your property since the program is FHA-insured. You will always still own your own home.
Closing Costs May Be Financed: Almost all of the closing costs can be financed as part of the loan, which means no out-of-pocket expense to you.
Enjoy your golden years without financial worries: Perhaps the greatest benefit of all.