Have you been considering a reverse mortgage as a way to get some extra money that you need in retirement? If so, it helps to know the answers to these questions before you decide to move forward.

Can Anyone Get A Reverse Mortgage? 

Be aware that there are some requirements for people that want to get a reverse mortgage. To start, you must be at least 62 years old to get a reverse mortgage. That means if your partner is below the age of 62, only one of you can have your name as the main borrower on the reverse mortgage. You also must have your entire home paid off in full. Other than that, you just need to keep up with paying property taxes and things of that nature related to the house.

When Do You Pay Back A Reverse Mortgage?

What makes a reverse mortgage so unique is that you do not make regular monthly payments like you do with a traditional mortgage. Instead, you pay the mortgage in a few specific situations. The main one is when you decide to sell your home, so you can use the income from selling the home to pay off the reserve. If your home goes up in value over the years, you'll certainly make enough money to pay off the reverse mortgage and the interest.

The reverse mortgage will also be due if the borrower were to pass away. In this instance, a surviving partner would need to decide what to do. If they qualify for a reverse mortgage, they can take out one of their own to keep the house. If heirs inherit the house, they can sell the home to pay off the reserve mortgage.

Do You Need To Borrow The Full Amount Of Your Home?

The nice thing about using a reverse mortgage is that you can borrow as much or as little as you want from the value of your home. Of course, there are loan origination fees associated with getting a reverse mortgage, just as if you got a traditional mortgage, so you want to make sure the amount of money you are borrowing is worth the fees that you have to pay.

These are just a few things that you should know about reverse mortgages. If you have any questions, make sure to meet with your mortgage lender for a consultation. They can let you know if a reverse mortgage will be a good idea based on your needs.

For more information, contact a company like Choice Mortgage.