San Diego, CA (PRWEB) August 27, 2013
LoanLove.com is a borrower advice website that provides detailed insights into the mortgage industry in a fun and entertaining way. The team at LoanLove.com is devoted to help empower both first time and experienced homeowners with valuable resources, first-class knowledge and connections to top-rated industry professionals and has the mission of helping consumers and borrowers to obtain the latest information on mortgage lending trends, the real estate market and the U.S. financial landscape in order to help them obtain a home loan that they will love. The website is continuously updated with articles that can help home loan borrowers understand the different types of loans so they will know which one is right for them. A recent guide posted on the site offers reverse mortgage solutions for those who are trying to decide of these types of home equity loans are what they need.
The article says: “It used to be that even just a few years ago, reverse mortgages were viewed with suspicion: After all, these loans are marketed to homeowners who are at least 62 years old, and a lot of critics have charged that the lenders who handled the loans might be trying to take advantage of “the elderly” (really? 62 is elderly?) or that older consumers might not be able to fully understand the ins and outs of reverse mortgages. Of course, that last point could be said of anyone – mortgages of all types can be notoriously difficult to understand, no matter how or young or old you are.”
The article continues: “But today, the attitude toward reverse mortgages has changed; even the Wall Street Journal notes the loans are being used – legitimately – by homeowners of all income levels who want to tap into their home’s equity without having the burden of monthly payments. As that article notes, while it used to be thought that reverse mortgages were used only by consumers facing potential financial difficulties, today’s reverse mortgages are regularly being used as tax shelters and as part of an overall investment strategy by seniors who are financially well off. Let’s dive in and answer the question, “how do reverse mortgages work?”.
The article then explains some of the features of reverse mortgages, such as the fact that they allow senior homeowners to get access to the equity they have built in their homes without having to sell their homes or take out an additional loan. There are many types of payment methods seniors can choose with reverse mortgages, namely lump sum, line of credit or a fixed monthly amount. Some homeowners may prefer a combination of these methods.
Loan Love also points out two of the main reasons that older home owners should look into reverse mortgages:
“• Most loans have no income requirements and in most cases, taking a loan will not affect your Social Security or Medicare benefits.
- Recently, President Obama signed a new, bipartisan bill into law that offers more protections for both lenders and borrowers. For instance, instead of just being required to participate in an informational session about the loans, today’s borrowers must have – again, free of cost – financial counseling to make sure the loan they get is the best one for their needs.”
In closing, Loan Love says: “Don’t turn up your nose at reverse mortgages; no matter what financial situation you find yourself facing, these loans could offer you significant financial advantages.”
For more information on reverse mortgages, please visit LoanLove.com for the full guide.