What Heirs Should Know About Reverse Mortgages

Kiplinger recently published an article that gives advice to the heirs of a reverse mortgage borrower.  The heirs should be aware that they are to contact the reverse mortgage lender immediately once the last reverse mortgage borrower has died.  This will be in favor of the heirs because the clock begins ticking on the date of death, which is the amount of time given to the heirs to make a decision on whether they want to keep the house, sell it or turn over the keys to the lender.  Another important thing to note is that the amount that's due to the lender is the lessor of the reverse mortgage balance or 95% of the appraised.  If there is no equity left in the home, then the beneficiary can simply turn over the keys to the lender without any recourse: that means the lender cannot go after the estate or the beneficiaries' assets for payment.

Learn more about this topic and other reverse mortgage topics at www.reversemortgagebenefit.com.