Reverse Mortgages in Colorado
What happens to your home and finances when you reach your retirement years? That’s where reverse mortgage can be helpful. By getting a reverse mortgage, you do not have to worry about giving up your home or making more payments in Colorado. We can even help you find the right reverse mortgage lenders for your situation. Our goal is to educate our clients about different kinds of loans in Colorado, including reverse mortgage. We’re committed to provide them with personal attention and expert advice to help them make informed decision about getting a reverse mortgage and finding the right reverse mortgage lenders.
What exactly is a reverse mortgage? It is a type of loan, but unlike the conventional mortgage in Colorado that lets you borrow money to buy a home, it lets you borrow money from the value of your home without making any payments. The lender will only collect on your reverse mortgage under the following circumstances:
- When you pass away
- When you stop living in your home
- When you sell the house
- The home has been neglected because you stopped taking care of it
- You failed to pay homeowners insurance or property taxes
Is it wise for you to get a reverse mortgage? Retired homeowners may seek reverse mortgage lenders to get money, which they can spend in any way they please. So, you could use your reverse mortgage in Colorado to cover for your living expenses, home projects, travel, or pay medical bills. Some our clients would even use their reverse mortgage to downsize and buy a new home.
A reverse mortgage might make more sense if you do not intend to move from Colorado and you want to continue living in your current home for the rest of your life. Remember: if you move, you will need to pay off your reverse mortgage. Falling behind on your insurance payments or property taxes may also put you at risk of foreclosure.
To qualify for a reverse mortgage in Colorado, you need to be at least 62 years of age and you are the principal owner of your home. Your value of the reverse mortgage will depend on your home’s worth and your age. The older you are and the more your home is worth, the larger the reverse mortgage. However, for the purpose of the reverse mortgage, age is based on the age of the spouse who is younger.