Mutual of Omaha – Reverse Mortgage for Purchase
It sounds too good to be true, right? But, if you are 62 years old – or older – and have a good amount of equity in your current home, you might qualify for a reverse mortgage for purchase, buy a home and wind up with no mortgage payments.
Here’s how it can work. Let’s say you are 62 or older and (1) you own your current home outright (no mortgage), or (2) you do have a mortgage and have about 50% in equity, and you would like to downsize into a smaller home, or move closer to your family, etc. With a reverse mortgage for purchase, you can (a) sell your current home, (b) put down about 50% on the new home purchase, and (c) use a reverse mortgage for purchase to finance the balance (the remaining 50%) of the home purchase, which allows you to forego any more mortgage payments.
Depending on your qualifications, your financial situation and the reverse mortgage product you choose, you might be able to also borrow against your equity and receive a monthly payment, allowing your home equity to pay you for necessary expenses, medical costs, home repairs, travel, or whatever you want or need.
Of course, to learn more about these loan products, and to see if you are a good candidate to get your own reverse mortgage or reverse mortgage for purchase, you should contact your mortgage professional, and of course, consult with your own attorney, financial planner, CPA or tax professional. Mutual of Omaha has a line of reverse mortgage products to consider. (Note: we do not endorse any particular vendor or loan product. We mention this here for informational purposes only). And finally, here is an explainer video with an example of how a reverse mortgage for purchase can work.
So, are you over 62 and thinking of a way to buy your next home without having a monthly mortgage payment? Find out about a reverse mortgage for purchase and see if it is a good option for you.
Consult with a professional such as an attorney or financial professional. This post does not consist of, nor is it intended to provide, legal or financial advice.