Known to many customers as Texas Lending, mortgage banker TexasLending.com was founded in 2001 with the goal of providing affordable mortgage rates to future homeowners.
Texas Lending is fielding an increasing number of questions about reverse mortgages, with many baby boomers interested in finding ways to afford to retire. Many senior citizens have heard reverse mortgages are a great way to bring in extra money, yet come to Texas Lending with reservations.
Texas Lending knows a reverse mortgage is a great tool for many seniors 62 or older. For the right person, it can be a way to pay off a traditional mortgage or to acquire cash for home remodeling projects, for medical bills, for a new car, or for a trip of a lifetime. According to Texas Lending, the best thing about a reverse mortgage is that the loan doesn’t have to be repaid until the borrower dies or sells the house.
Reverse mortgages are ideal for those who have no intention of moving, since the loan must be paid off if the home is sold. Homes with substantial equity ( 50% or more) make the most sense under the program. The professionals at Texas Lending will confer with a homeowner to determine whether or not a reverse mortgage is the best solution. The homeowner must also confer with a HUD approved counselor to confirm the Reverse is truly the best option
Texas Lending is quick to correct the misconception that in signing up for a reverse mortgage, all equity will revert to the lender when the homeowner dies. That is actually the last option! Upon death, the heirs decide the best course of action and often decide to sell the home to repay the debt. Any monies remaining after the debt has been repaid is paid to the heirs when the sale of the home closes. If the debt exceeds the amount of equity, the heirs will owe nothing.
According to Texas Lending, when a reverse mortgage is granted, the borrower receives money in one of many ways: a one-time lump sum, equal monthly payments for the duration of the borrower’s life, equal monthly payments for a fixed period, unscheduled payments or installments via a line of credit, a combination of lines of credit and scheduled monthly payments for the duration of the borrower’s time in the home, or for a set time period. Texas Lending works with homeowners to help them understand these options, as well as any terms that may apply to their particular situation.
For more information, visit Texas Lending online at www.TexasLending.com