Qualification for Reverse Mortgage
To be qualify for reverse mortgage, you must be a homeowner, at least 55 year old and the home to secure the mortgage must also be your primary residence. Meaning you must live in the home for at least 6 months a year.
Paying Back the Mortgage
You are not required to make any regular payments on a reverse mortgage. You have the optio to repay the principal and interest in full at any time. However, you may have to pay a fee to pay off your reverse mortgage early.
You have to pay back when:
- sell your home
- move out of the home
- last borrower dies
- default on the loan
You can default on a reverse mortgage by:
- using the money for anything illegal
- being dishonest in your reverse mortgage application
- letting your home fall into a state of disrepair that would lower its value
- not following any conditions in your reverse mortgage contract
