A reverse mortgage does not require monthly payment to them however they deduct a monthly payment from the established equity of your home at the time the mortgage was initiated.
At the time we took this mortgage out, our position was good, we would sell the house, recoup the cost of repair and update from the monies against this mortgage and buy or rent something else that was smaller than what we had. Out kids were long established in their lives and we were in a house too large for our needs.
Life took a different course and I have now had 12 years of this awful situation. I'm in a position now where I really need to sell and find something smaller with some equity left to live on and leave some kind of an estate for my children. My only income is S.S.The situation keeps me awake at night.
I started the "met with a broker" about a month ago. Needless to say, it is now on the back burner. If something happens to me, as it stands now, my heirs must sell the house within 1 year or forfeit the house to the holder of the reverse mortgage.
When we took out this Reverse Mortgage, it seemed like a good idea since we did not have a lot of money to update.
To those of you who might be considering this option, think twice. It is very costly and you never know what will happen if you, one or both die and the market for real estate is dead.
I regret that I have this and am stuck until this pandemic passes. Perhaps then, if I live thru it, I can sell and find somewhere to live. As a Senior with limited options, this Reverse Mortgage is an albatross.
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