Juhani Tontti asked:




The reverse mortgage can be the only source of money to prevent the nursing home. A senior avoids to sell the home, where he has lived for years, because the reverse mortgage loan gives the needed money. However, it is important to plan the move carefully and to try to keep the eligibility to the Medicaid. Very obviously an expert aid is needed.

The secret of the reverse mortgage is in the monthly payments. This loan has no monthly payments. The loan capital, the interests and all the costs will be paid, when the loan will be closed. This happens, when the borrower will sell the home, move away or die. A borrower can even pay away the usual mortgage with the reverse loan, which releases more disposable money.

1. The Long Term Health Care Policy.

Because usually the long term care insurance requires that a senior is in a good shape, it does not fit to everybody. But if a senior is 62 years old or older and he or she own a home, where he has equity left, he can take the reverse mortgage loan and pay for the care at home. Altogether 3 borrowers are allowed, but everybody must fulfil the qualifications. The paid health care must happen at home, because the loan terms say, that the home must be a permanent home for a senior, so he cannot live in the nursing home.

2. A Borrower Remains As An Owner Of The Home.

This is important for many seniors. They can continue living in the old home with the same neighbours. They continue the ownership of the home and will enjoy about the price increases, which are at least as big ones as are the loan interest rate. The lender has no chance to get the home, if a borrower pays the necessary insurances and taxes. If the reverse mortgage loan is used to pay for the care, it is important to make a realistic plan, which covers enough years.

3. A Borrower Decides About The Payment Schedule.

The lender will pay the loan amount as the borrower wants. The alternatives are the lump sum, the monthly payments, a credit line or the combination of these. The needs of the borrower will dictate the schedule, but principally a senior can decide the schedule as he wants. It is recommended to leave a reserve for the future needs. In most states the monthly payments are tax free, but it is wise to talk with an expert.

4. Should I Wait?

Well, yes if you can. The amount of the reverse loan is calculated using the age of the borrower, the appraised value of the home and the interest rates. We can say, that the older the borrower, the higher the home value and the lower the interest rates, the more a borrower can get. The law has set the maximum amount limit, which is $ 625.000. Usually the limit is 50 % to the appraised value of the home.

Dean

Roger C asked:


It appears that lenders do not refinance mobile homes that you dont live in. I own the mobilke that my son lives in. He pays the morgage.

Larry

Carrie Reeder asked:




Before attempting to buy a home after foreclosure, it is important to educate yourself on the necessary steps, and improve your odds of getting approved. Certain situations are extremely damaging to your credit report. These include bankruptcy, foreclosure, repossession, etc. Fortunately, you can rise from a bad credit situation. Here are a few tips to help you get approved for a mortgage after a foreclosure.

Negative Effects of a Home Foreclosure

Aside from embarrassment and shame, having a home foreclosure will significantly decrease your credit score. Immediately following a foreclosure, it is difficult to obtain any type of credit, especially a home loan. Because many factors contribute to the inability to repay a mortgage loan, those who experience a foreclosure may be able to afford a new home loan.

For example, if foreclosure was due to loss of employment, once the previous homeowner finds work, they may be able to handle a new mortgage. The problem lies in getting approved. Lenders could careless about the circumstances surrounding bad credit. Their main concern is determining whether you are a good candidate for a loan. Thus, it is essential to improve credit before applying.

Maintain Regular Payments with Existing Creditors

The best approach for improving your credit score following a foreclosure is to keep up with regular payments to your other creditors. For example, if you have three credit cards, make an effort to pay the bills on time. If possible, payoff the credit card balances. This will increase your available credit, which is perfect for quickly boosting credit rating.

If you do not have a credit card, another tactic involves applying for a new line of credit. This might consist of an auto loan or secured credit card. Likewise, maintain on-time payments. Be aware that late payments or skipped payments will cause further damage to your credit rating.

Choose a High Risk Mortgage Lender

If applying for a mortgage after a foreclosure, many traditional lenders will not approve a loan request. For this matter, request quotes from several sub prime or high risk mortgage lenders. These lenders approve loans to people who have a difficult time securing financing.

Lewis

anubis asked:


If you make 40K a year and buy a $250,000 home because you got some “fancy” morgage, Why should I have to bail you out now? What happened to being finacially responsable? I say again financially RESPOSABLE?

Cody

bigkevuno asked:


my cousin wants to give me her house, put it under my name just as long as i continue to pay for the morgage. what has to happen for this to happen? do i have to get a morgage?

Jesse