Juhani Tontti offers the following royalty-free article for you to publish online or in print. Feel free to use this article in your newsletter, website, ezine, blog, or forum. ----------- PUBLICATION GUIDELINES - You have permission to publish this article for free providing the "About the Author" box is included in its entirety. - Do not post/reprint this article in any site or publication that contains hate, violence, porn, warez, or supports illegal activity. - Do not use this article in violation of the US CAN-SPAM Act. If sent by email, this article must be delivered to opt-in subscribers only. - If you publish this article in a format that supports linking, please ensure that all URLs and email addresses are active links. - Please send a copy of the publication, or an email indicating the URL to [email protected] - Content Crooner (www.ContentCrooner.com) has distributed this article on behalf of the author. Content Crooner does not own this article, please respect the author's copyright and publication guidelines. If you do not agree to these terms, please do not use this article. ----------- Article Title: Senior Reverse Mortgage - A Way To Use Your Home Equity Author: Juhani Tontti Category: Loans, Mortgage, Mortgage Word Count: 425 Keywords: senior reverse mortgage,how reverse mortgages work,reverse mortgages pros and cons,reverse mortgage Author's Email Address: [email protected] Article Source: http://www.contentcrooner.com ------------------ ARTICLE START ------------------
The target group of the senior reverse mortgage are seniors, who are cash poor but equity rich. They have paid the most part of their mortgages during many years but then for some reason, their financial situation have changed and they feel that the monthly cash does not cover all the expenses. 1. You Have The Right To Use The Equity. There is one bad attitude, which resists some seniors to take this loan and that is that they feel that they cannot use the equity, which they have finally been able to pay away. But think about it. It is your money and now, when your home is perhaps too big for you and you really need more disposable money, it is clear that you can use the equity. It will go to a real, burning need. 2. What Kind Of Homes Are Accepted? The requirement is that all properties must meet the FHA standards and flood qualifications. The accepted home types are single family homes, the HUD approved condominiums, the homes, which include from one to four units, when at least one unit is reserved to the borrower and the single family homes. 3. How Does A Loan Sum Fluctuate? The reverse loan is quite similar with the usual mortgage loan. In this respect there are two loan alternatives, the loan with a variable interest rate and the loan with the fixed interest rate. If the decision is the variable loan type, then the interest rate will influence on the final payment especially when we think about the compound effect. 4. How Much You Can Borrow? The maximum amount, which the law allows is $ 625.000. However, the sum depends on your age, the appraised value of the home and on the interest rates. We can say, that the older you are, the more expensive is your home and the lower the interest rate, the more you can get. 5. When Do You Pay All Back? This is the sweet spot of this product. A senior has not pay back anything on a monthly basis, he can even pay away the traditional mortgage with the reverse loan and in this way to release more money for the daily use. The loan capital and all the expenses will be paid back, when the loan will be closed. That happens, when the last owner or borrower, will move permanently away or die. Then the home will be sold and the selling price will cover all the costs. If this does not happen, then the mortgage insurance will pay the difference. This insurance is compulsory. Juhani Tontti, B.Sc., Marketing. To be able to find out how reverse mortgages work, read through the reverse mortgages pros and cons. They give you an idea, if these products will fit to you. Visit: http://www.reversemortgageearnings.com Distributed by http://www.ContentCrooner.com ------------------ ARTICLE END ------------------ [Non-text portions of this message have been removed]
