How Do I Receive My Money From A Reverse Mortgage?
Today’s reverse mortgages are designed with you and your needs in mind. The money can be paid to you in several ways. The four basic reverse mortgage payment types are:
Line of Credit:
A line of credit helps you be in control. It provides you with the security of having funds when you need them.
Guaranteed Tenure Payment:
Selecting the tenure payment guarantees you a monthly cash payment for life. With this option you can never run out of money.
Lump Sum of Cash:
Taking your cash at closing provides numerous possibilities, buy a long term care policy, consult with your estate planner on how to use your equity to off set estate taxes with life insurance products, use it as a down payment on an investment property, remodel or update your home, help a child buy a house or start a business.
Your needs are unique. Using the Term Plan allows you to take a your proceeds over a specified amount of time.
With the flexibility of todays reverse mortgages you can do a combination of all of the above. It’s your choice.
Example: Take a lump sum at closing and do some home repairs, set up a guaranteed tenure plan and have some money left over for a rainy day.
You can also for a small fee change your plan*, simply call your loan servicing department. They are always there to help.
*Some limitations may apply