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Questions and Answers 

Your home represents many things, safety, independence, and memories to name just a few. Now, with a reverse mortgage, it can also be a source of income. A reverse mortgage can meet financial needs and insure that you can stay in your home for as long as you choose.

What is a reverse mortgage?

It is a loan against your home that does not have to be repaid as long as you live in your home.


What is so unique about this program?

The borrower is NEVER required to make a monthly payment. It is a loan in “reverse”. Instead of making 

payments, you can receive them.


Will this loan affect my Social Security or Medicare?

No, absolutely not.


Will I have to pay income tax on the money I receive?

No. The money is considered proceeds of a loan and not taxable.


How much do I qualify for?

It depends on your age(s) and the value of your home as well as the interest rate at the time of closing. 

The older you are the more money you get.


Will I have to pay an up front application/appraisal fee?

At Universal Lending you will not have to pay these fees out of pocket; they are included in your loan.


What are my responsibilities?

You and/or your spouse must live in the home, keep the property in good condition and make sure your

taxes and insurance are paid on a yearly basis.


Do I have to own my home free & clear?

No, even if you have an existing loan, reverse mortgage proceeds can be used to pay the loan in full and 

you would never have another house payment.


When is the loan due?

The loan is due when you and your spouse no longer live in the home as your primary residence.

Is this a safe loan?

Yes. It is an FHA-Insured loan administered by the federal government.


Are reverse mortgages expensive?

Because of recent program changes, some reverse mortgages are less expensive than in years past.


Will I still own my home?

Yes- You DO NOT give up title to your property and you can sell and move at any time. 


Can my wife and I get a reverse mortgage if I am over 62 but she is not? 

Yes, only one borrower has to be 62 or older. 


What questions should I ask a potential lender?

Ask if they process and underwrite their loans in state; you want your paperwork done locally. Make 

sure your lender has years of experience and ask how long they have been providing reverse mortgages. Ask if their loan officer will meet you face to face to explain the paperwork.


How can I be sure it is right for me?

A meeting with a HUD approved housing agency is required. They will sit down with you (and your family if you like), to explain this program so you can make an informed decision.


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