Reverse mortgages are becoming popular in America. Reverse mortgages are a special type of home loan that lets a homeowner convert the equity in his/her home into cash. They can give older Americans greater financial security to supplement social security, meet unexpected medical expenses, make home improvements, and more.
While these products can be a useful tool, they have characteristics which consumers need to be aware of before entering into such a significant financial transaction.
Read more on the U.S. Department of Housing and Urban Development's (HUD) website: http://www.hud.gov/buying/rvrsmort.cfm
- Top Ten Things to Know if You're Interested in a Reverse Mortgage (links off-site to HUD)
- Reverse Mortgages: Get the Facts Before Cashing in on Your Home’s Equity (links off-site to FTC)
- Financial Regulators Adopt Guidance on Reverse Mortgage Products (links off-site to FFIEC)
- State Financial Regulators Roundtable Guide to Financial Services Issues for Senior Citizens