Tayne Law Group

Reverse Mortgage

When you turn 62 you become eligible to take out a reverse mortgage.

A reverse mortgage is a type of home loan that allows you convert some of the equity in your home into cash. It is similar to a HELOC or second mortgage but unlike a traditional home equity loan borrowers of reverse mortgages do not have to repay the loan until the borrowers move out of the home.  We advise against this as a way to repay debt and supplement income.  If you outlive the reverse mortgage you will be stuck in the same predicament as before.  Also, if your home is your only asset it is not wise to cash it out.