Business / Taxes / Reverse Mortgage: A reverse mortgage is a loan available to a homeowner 62 or older who may be eligible to borrow against the equity in his or her home. Generally with a reverse mortgage, you receive money from a lender while you stay in your home. You don’t have to pay the money back for as long as you live there and keep the property in good repair, but the loan must be repaid when you die, sell your home, or move to a different primary residence. The amount you can borrow depends on your age, your home’s value, your equity in it, and current interest rates. You can access the money as a lump sum, a line of credit, or a combination of these methods. All reverse mortgages require closing costs, much like a regular mortgage, and they can charge fixed or variable interest rates. The fees can make a reverse mortgage an expensive way to borrow. More than 90% of reverse mortgages, officially known as Home Equity Conversion Mortgages (HECMs), are insured by the US government’s Federal Housing Administration (FHA). The FHA caps the size of reverse mortgages depending on the county in which your home is located and guarantees that you will receive the full amount of your loan. Private alternatives to HECMs, called proprietary reverse mortgages, often offer higher limits. These loans may have higher costs, however.
Reverse Verb Synonyms: back up, move or go backwards or also backward, backtrack, make sternway
Reverse Noun Synonyms: opposite, contrary, inverse, converse, inverted, upside down, mirror, reversed, backward
Reverse Adjective Synonyms: alter, change, modify, renounce, recant, take back
Business / Debt / Repayment Mortgages: A mortgage where throughout the term, regular payments are made to partly repay interest on the capital and to partly repay the capital itself (the amount of the loan). Initially the largest proportio MORE
Business / Finance / Residential Mortgage: Mortgage on a residential property, tax-deductible for individuals up to $1 million. MORE