An Equity Line of Credit is not the same as a Reverse Mortgage.
An Equity Line of Credit depends on:
- Loan to Value.
- Does not matter age of borrower.
- Needs to be paid back on a monthly basis.
A Reverse Mortgage.
- 50-60% of the home value may be borrowed with a Reverse Mortgage.
- As long as guidelines are being followed, a Reverse Mortgage does not have to be paid back until the home is sold.
- A borrower must be 62 or older.
- Qualifications does not look at credit score.
- Qualifications does not look at employment income.
- Need to pay back when the property is sold.
- Loan is insured.
A Reverse Mortgage does not get paid back until the time of sell of the property.
Please check with a Professional Reverse Mortgage Advisor and your Tax Advisor for specific details regarding a Reverse Mortgage.
I hope you enjoy this video series about Reverse Mortgages. If you have any other questions, please feel free to contact us:
Gennaro Faiola, Reverse Mortgage Advisor 916.216.1140
Pam McCoy, Realtor® 916.865.8759
Your Senior Real Estate Specialists (SRES),
Pam McCoy serving Folsom, Granite Bay, Roseville and surrounding areas