A reverse mortgage allows seniors 62 and older access to equity in their primary residence with the added benefit of retaining ownership of their home. You can get money to live on, pay off debts, or travel and not have to make a monthly payment. The loan is repaid along with the interest after you sell or permanently move out of the property.
By far the most popular choice, the Home Equity Conversion Mortgage or H.E.C.M. accounts for more than 90% of all reverse mortgages originated in the United States. Since 1990 the Department of Housing and Urban Development or H.U.D has insured almost one half million reverse mortgages for seniors. This U.S. government insured program has made it possible for thousands of people to have access to part of their home equity.
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