The writer is a reverse mortgage broker in Canada. He specializes in reverse mortgages to help seniors life their life in dignity. Reverse mortgages can greatly assist the elderly in living their lives to the fullest.
If my home appreciates in value during the mortgage term, who will be entitled to that appreciation? The new reverse mortgage does not provide the lender with an equity share in the appreciation of your home. Any money remaining after the mortgage is paid belongs to you or, upon your death, to your estate. You or your estate is legally required to pay back to the lender only the outstanding balance due.
What if I decide to sell my home? If you choose to sell your home, the outstanding balance becomes due and payable to the mortgage lender. Any proceeds left over once the loan is paid belong to you.
Can I sell my home to my children and continue to live in it? If you sell your home to your children or any other individual (or simply give them title), the loan will become due and payable. After the loan is repaid, any arrangement for your continued occupancy of the property must be made with the new owners.
Must I payoff any loans or liens against the property? Reverse mortgages require that all prior loans and liens be paid off so that the reverse mortgage loan is in first place, or in first lien, position. Many times, the proceeds from the reverse mortgage can payoff the underlying loans.
BC mortgage brokers are not all the same. As a BC mortgage broker and a writer, the author has a deep insight into the BC mortgage market. Check out his BC mortgage rates at his blog.