Reverse mortgages, also called home equity conversion mortgages, are a way for homeowners who have paid off their initial loans to use the equity they have built up for other expenses. If there is a reverse mortgage on a property, it should show up during title searches, so that future owners are aware of any existing liens.
Reverse mortgages are available to people over the age of 62 who want to withdraw equity from their homes to help cover living expenses. Typically, they are used as part of an overall retirement plan. Since equity is being withdrawn from a home, heirs are responsible for repaying that equity when the home is sold. An unsatisfied reverse mortgage is a lien on the title that must be satisfied before the home can be sold.
Core can help you understand every part of the home buying process. We can help you discover any unsatisfied reverse mortgages through title searches, plus help you navigate closings, loans, and more.
To learn more call or text (856) 316-4005 for any of our NJ offices; (267) 428-3821 for our Philadelphia, PA office; (954) 434-1445 for our Ft. Lauderdale, FL office; (239) 970-4200 for our Naples, FL office; or (734) 823-3356 for our Northville, MI office.