Louisiana Reverse Mortgages
With reverse mortgages, we can assist you with preparing for a long and fruitful retirement using the equity in your home. You may not be aware that there is a legal, safe and effective way to be paid to remain in your home throughout your retirement for as long as you occupy the property. It is called a reverse mortgage. The program is open to all seniors who are over the age of 62, have equity in their principle residence and wish to obtain up to $625,000 under FHA terms or more under private terms. We can help you to find out if a reverse mortgage is right for you.
Consider that a reverse mortgage has a number of very attractive features for seniors, such as:
- The borrower can remain in their home until they die
- No income or credit verification
- No monthly or annual payments
- Repayment is made once the borrower dies or moves out of the house
- Proceeds are tax-free and can be in a lump sum, stream of payments, line of credit, or combination thereof
- Interest may be tax deductible on loan repayment [consult tax advisor for details]
- The loan is fully insured by the federal government
- The heirs still inherit the home
- The loan proceeds can pay off existing mortgages
- The process does not impact Social Security or Medicare
Recent changes to the program also allow you to purchase a property and never make a payment, with the down payment amount decreasing according to age. For example, a 62-year-old person could make a 38% downpayment on a property and never make another payment again. In many cases the sale of the first home could cover the cost of the down payment, leaving you with one less payment to worry about every month during your retirement.