Reverse Mortgage San DIego

If you’ve built up equity in your home, a reverse mortgage lets you tap into it without packing up and moving out. It’s meant mostly for homeowners 62 and older, and it can add some breathing room to your finances in retirement by turning part of that equity into money you can actually use. The twist is right there in the name: instead of sending payments to a lender each month, you might be the one receiving them, and DG Funding can help. 

How a Reverse Mortgage Works

• If you qualify, you borrow against the equity in your home and get the money in one of a few ways: monthly payments, a single lump sum, or a line of credit you draw from as needed.
• You still own the place. As long as you keep up with the loan requirements, you can go on living there.
• Over time the balance tends to grow, since you’re receiving funds and interest keeps adding up.
• Repayment usually comes later, when you sell, move out for good, or no longer meet the loan requirements.

Who Should Consider a Reverse Mortgage?

• Homeowners 62 or older who want to reach their home equity but don’t want to sell.
• Retirees hoping to pad their income and loosen things up financially.
• People sitting on a good amount of equity who’d like to put their property to work, or those who can acquire a good amount of equity when purchasing a property. 
• Anyone planning to stay put for the long haul who wants something other than the usual borrowing routes.

Key Points Before You Decide

• A reverse mortgage can bring in extra retirement income while you stay in your own home.
• The money can go toward all sorts of things: everyday bills, fixing up the house, medical costs, or whatever other goals you have in mind.
• Keep in mind you’re still on the hook for property taxes, insurance, upkeep, and the rest of the loan terms.
• And before signing on, it’s worth thinking through how this affects your estate and the home equity you’ll have down the road.