What is the best reverse mortgage?
I can help answer that question by adding “what is the best reverse mortgage for you?” That saying “to each their own” goes perfect when trying to discuss ones best reverse mortgage.
First let’s discuss what the most important factors are to you when getting your reverse mortgage.
Do you prefer a big bank, national lender, reverse focused brokers or a local advisor that can come to your home and explain options?
Do you prefer a reverse mortgage loan that has flexible terms and structure, or one that remains fixed for life?
Are you trying to receive the most money back, or just trying to eliminate paying your monthly mortgage payment out-of-pocket…or both?
There are many-many scenarios that make each homeowners best reverse mortgage a little different than their neighbors. Join me while we explore some different options, so that maybe we can help you get pointed in the right direction to find your best reverse mortgage 🙂
Best Reverse Mortgage Lenders and Companies
There are many different ways you can go about searching for a reverse mortgage lender or a reverse mortgage company.
Below are a few ways that ReverseAdvisors.org can help you in your search. We provide a list of approved reverse mortgage lenders, reverse mortgage companies and reverse mortgage advisors that range from national, statewide and local to your county or the surrounding area.
Reverse Mortgage Lender Search
Lenders are mortgage companies that have the ability to close the loan in the name of the company and they arrange the funding themselves. Most of the time they underwrite the reverse mortgages, but in some scenarios the lender might have another lender underwrite. Lenders are usually larger companies that offer reverse mortgages in multiple states.
Reverse Mortgage Companies or Brokers Search
Reverse mortgage companies usually pertain to brokers. Brokers are companies that work directly with lenders to offer reverse mortgage programs. The broker will handle the entire process with the homeowner, but the lender will help in the underwriting and funding of the reverse mortgage. Many brokers work with several different lenders, so they may have the advantage of offering multiple programs.
Local Reverse Mortgage Advisors Search
There are reverse mortgage advisors that specialize in a very localized area. These advisors usually like to work in their county, or their surrounding counties, because they like to work face-to-face. These advisors may or may not be able to come out the the homeowners home to explain the reverse mortgage over-the-table.
All of these options can be perfect for everyone looking to obtain a reverse mortgage. ReverseAdvisors.org encourages you to search our approved reverse mortgage database, so that you can find your best reverse mortgage lender, best reverse mortgage company, or best reverse mortgage local advisor!
Find only the best reverse mortgage for you
Best Reverse Mortgage Programs
What are you trying to get out of a reverse mortgage? Answer that questions and you are in a much better place to decide which reverse mortgage program is best for you.
Let’s go over a couple different reverse mortgage options that you may be deciding from.
Fixed Rate Reverse Mortgage Programs
Many homeowners are familiar with fixed rate mortgage loans. The reverse mortgage offers fixed rates, which can be a perfect solution for many homeowners. These reverse mortgage options remain fixed for life and offer a lump sum cash-out payment at closing.
Adjustable Rate Reverse Mortgage Programs
In contrast to the fixed rate reverse mortgage options many homeowners are not too familiar with adjustable rate options and their advantages. It might surprise you to find out that the high majority of reverse mortgage that were funded in 2018 were adjustable rate options. This percentage could actually be over 80% of the total reverse mortgages funded. They offer great flexibility by utilizing a line of credit and monthly payment feature. Definitely worth a look!
Please keep in mind that with an adjustable rate reverse mortgage you can utilize any of these reverse mortgage options whether it be one of them or all three. It all depends on how much money you qualify to receive and how you would like to use your best reverse mortgage options.
Best Reverse Mortgage Options
Whether you pick a fixed rate reverse mortgage or an adjustable rate reverse mortgage you need to decide how you would like to take your available money in the program.
Based on the reverse mortgage program you select this option may be already made up for you. The fixed rate reverse mortgage option requires a lump sum cash-out.
Please take a peek at all the options below. Any of these jump out and seem like a perfect fit for what you are looking to accomplish?
Lump Sum Option
All reverse mortgage options offer the ability for homeowners to take a lump sum disbursement at funding. The funds will be deposited directly into the homeowners bank account at funding or a check will be sent by escrow.
Line of Credit Option
Homeowners can utilize a line of credit option, which allows for money to be accessed only when requested. This offers a lot of flexibility, because all of the available line of credit left in the line of credit will not be charges interest. In fact there is actually a growth rate attached to the HECM reverse mortgage line of credit options. This means the homeowners will see more available money in their line of credit each month! Pretty cool!
Monthly Payment Option
Homeowners can choose to receive a monthly payment from their reverse mortgage proceeds. Having a little trouble imagining how this works? Let’s say you have $100,000 available to you with a reverse mortgage. You can use any or all of that to setup a monthly payment. If you chose to convert all $100,000 into a monthly payment then you might be able to receive a monthly payment anywhere from $500 a month to $2,000 a month. Depending on the age of the youngest borrower and the term of which you would like to receive your monthly payment. There is even an option to receive a set monthly payment for the rest of your life!
Best Reverse Mortgage Providers
In today’s day there are many different ways that a homeowner can complete a reverse mortgage and there are many different types of reverse mortgage providers who are available to meet your expectations.
Do you prefer to do business over-the-phone and online?
Todays mortgage industry has made some great advancements, which make it easy for reverse mortgage providers to be hands-on when not within arms reach.
Do you prefer a reverse mortgage advisor comes to your home?
If you are the type of borrower that prefers to sit across the table from a reverse mortgage advisor and go over the ins-and-outs of you reverse mortgage then that is definitely possible too. Many local reverse mortgage advisors are looking forward to meeting you.
Do you prefer to work with a big reverse mortgage lender, or a smaller reverse mortgage company?
Both are great reverse mortgage providers! It is a comfort thing and that is OK!
The reverse mortgage industry is amazingly diverse in how many types of reverse mortgage providers are available to homeowners.
Regardless of how you like to do business there are many options for you to review and interview.
ReverseAdvisors.org has put together a list of approved reverse mortgage lenders, reverse mortgage companies and local reverse mortgage advisors making it easy for you to find your best reverse mortgage provider.
Best Reverse Mortgage Loan
So you have made it this far and you are still looking at us saying, “what is the best reverse mortgage loan?!”
If you found yourself becoming partial to different reverse mortgage options that we provided along the way then I think you are off to a fantastic start!
Again, the questions is not what is the best reverse mortgage? The questions is what is the best reverse mortgage for you?
Hopefully we were able to help start putting some pieces together.
We encourage you to use our ReverseAdvisors.org search to find lenders, companies and advisors who can take it from here and give you some detailed scenarios based on the items you liked from our tutorial.
Let them help you piece this puzzle together and get you your best reverse mortgage 😉