When people get the actual facts about reverse mortgages there are certainly surprises. They are surprised that the bank does not own the home. They are surprised that to do a reverse mortgage the home does not have to be free and clear. They are surprised that their kids or their estate gets to keep any equity after they are gone. They are surprised that they can sell the home at any time. They are surprised that a spouse who does not qualify for the program is protected and will never have to leave the home if the eligible spouse predeceases him or her. They are surprised that they can create a growing line of credit guaranteed by the U.S. government that can never be reduced or called no matter what happens to their home value (after nearly 7 years of originating these financial tools even I can’t shake the surprise of that one!).
Now I would like to share with you a few more surprises. 9 of them in fact. Please open your surprises here.