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Michael Zwerling

949-288-4402 Contact Me

You’ve spent your whole life paying for your home, maybe it’s time it paid you back.

Call us to find out how to leverage home equity for a better retirement.

Reverse Mortgage Lender

Michael Zwerling

| NMLS #61166 | 949-288-4402

I pride myself in helping people get the most money out of their homes without ever having to make a loan payment* or sell their home.

With the rising costs of living and inflation, the Reverse Mortgage is a powerful solution that enables homeowners to
live in their homes for the rest of their lives.

Quickly find out how this unique loan could work for you with no obligation. Give me a call today at (949) 288-4402. I look forward to speaking with you.

*The borrower is still responsible for paying property taxes, insurance, and for home maintenance.

What is the benefit of a reverse mortgage?

A reverse mortgage allows you to get the most money out of your home's equity without ever having to make a payment* or sell. 

*The borrower is still responsible for paying property taxes, insurance, and for home maintenance.

What is a reverse mortgage? 

A reverse mortgage works the exact opposite as a regular does.  Instead of you making payments every month, over say a 30-year period, and paying your house down to $0. 

With a reverse mortgage, there are no monthly payments ever required.You retain title to the home and since you are still the owner, you must continue to pay your property taxes and insurance.

A reverse mortgage is a way to unlock the equity in your home without ever having to make a payment and without having to sell.

How would someone get out of a reverse mortgage?

A Reverse Mortgage is a loan, and just like all other loans, you can pay them back at any time. Reverse mortgages do not have any pre-payment penalties. If you no longer have a need for a reverse mortgage you are not obligated to remain in one for the rest of your life. 

All you have to do is simply pay back whatever money you borrowed by selling the home or refinancing. If you don't have enough equity in your home to sell or your credit is not sufficient to qualify for a refinance, you can stay in the reverse mortgage without having to make payments regardless of the home's value, your credit score, or your income.

On average, how much money does someone get from a reverse mortgage?

The amount that you can receive on a reverse mortgage is determined by four key factors. Your age or age of your spouse/co-borrower, the appraised value of your home, county lending limits, and current interest rates.  The older that you are, the higher percentage of your home's equity that you are able to access.

The maximum that you can receive with a reverse mortgage is 75% and the average reverse mortgage applicant receives between 50%-75% of the appraised value of their home.

The amount that you can receive on a reverse mortgage can exceed 75% of the appraised value of your home if you take the funds slowly over time. That is because the reverse mortgage is the only loan that increases your access to the equity as time goes on even if the value of the home is declining.

Who can qualify for a reverse mortgage?

In order to qualify for a reverse mortgage, you must be at least 60 years of age and own a home. If you do not own a home, you can use a reverse mortgage to purchase a home if you are over 60 years old so long as you have between 25%-60% as a down payment amount.

In addition, the banks will check your credit and income to determine if you have enough cash coming in on a monthly or annual basis to be able to afford to pay your property taxes and insurance.

If you don't pass the financial test the lender will pay your taxes and insurance for you when they come due for your life expectancy.

How much equity do I need to get a reverse mortgage?

There is no equity requirement for you to be able to get a reverse mortgage.  There are retirees that have even had negative equity in their homes that have gotten reverse mortgages and eliminated their monthly mortgage payments for the rest of their lives.

If you are focused on increasing your monthly cash flow and have been told that you need at least 50% equity in your home to qualify, then whoever told you that is either very confused or doesn't know what they are doing.

If you are 60 years or older and own a home, you qualify for a reverse mortgage irregardless of how much equity you have in your home.

Can I pay off my reverse mortgage early? If so, how do I do that?

Reverse mortgages are available for almost all residential property types. The most common type of home is a single-family residence and is the most common home type that reverse mortgages are completed for. If for some reason you don't have a single-family residence do not be discouraged.

Eligible properties for a reverse mortgage loan include condos, condominiums, PUDs, Townhomes, Rowhomes, modular homes, manufactured homes, mobile homes on permanent foundations, 2 unit properties, 3 unit properties, 4 unit properties, attached or detached homes, mixed-use homes, log homes, new construction homes, leased land homes, etc. 

If you are unsure if your property is eligible please contact us and we can help you with that.

What happens to my reverse mortgage when I die?

When you pass away with a reverse mortgage on your home and there is no surviving spouse or co-borrower, the reverse mortgage would come due upon the death of the last surviving borrower.

Now because there are no monthly payments required on a reverse mortgage the loan must be paid back in full.  Immediate payment in full of the reverse mortgage loan would cause problems for most heirs, therefore, the program allows your heirs 6 months to repay the debt and they can also get two 90-day extensions that will extend the time up to a total of one year from the date of your death for the heirs to repay the loan.

What most heirs do is sell the home and pay back the money that you borrowed and pocket the difference. If your heirs would like to keep the home, they can simply refinance your reverse mortgage loan into a new loan in their name.

In the event that the value of the house has dropped and the balance on the reverse mortgage is higher than what the home is worth, your heirs can keep the house and only have to pay back 95% of the value of the home or they can deed the house over to the bank and walk away.

 

The testimonials, statements and opinions presented on our website are applicable to the individuals depicted. The testimonials are voluntarily provided and are not paid, nor were they provided with free products, services or any benefits in exchange for said statements.


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