Mortgage Solutions LLC - Kevin Mansouri

You utter the words reverse mortgage and opinions will vary as much as when discussing politics. Reverse mortgages are nothing more than a government insured mortgage designed for seniors to retire and stay in their home as long as they desire and are capable. There are no monthly payments required on a reverse mortgage, and borrowers can receive lump sums and or monthly payments. Sounds good right? So why the bad rap? As with anything, one bad apple spoils the bunch. This is particularly magnified when seniors are involved. Abuses typically involve investing mortgage proceeds in financial products such as annuities or life insurance programs. In the past seniors were encouraged to take out lump sums of cash and invest in various financial products. We all know there is risk involved with investing, and you can probably see where many seniors were left. It is not uncommon for kids or other co-habitants to apply pressure to senior home owners to take out a reverse for other various reasons, such as living rent free, investing in businesses if you can think of it, it has been done. However with proper education and thorough planning, a reverse mortgage can be the answer that seniors have been looking for. It can mean that a grandmother can stay in the house that her kids were raised in. It can mean quitting a job when they otherwise couldn't. It can mean a huge sigh of relief because they can pay their bills. It can mean traveling the world. It can give them the lifestyle they deserve. Are reverse mortgages right or are they wrong? Only the home owner can decide.Editors note: This article was submitted by Kevin Mansouri, a local Certified Reverse Mortgage Specialist with Vintage Lending. He may be reached at 801-506-0307 or at [email protected]

Its not every day that one inquires about a reverse mortgage.Consumers don't have experience with reverse mortgages because unlike forward mortgages they are typically only done once in a homeowners lifetime. For this reason, there is a lot of misinformationMyth #1 the bank owns my home. This is 100% not true. You retain all ownership to the home. You simply have a mortgage that is different than you're used to. You are not required to make payments, and in some instances, you can receive payments from the bank.Myth #2 is that you cant leave the home to your heirs. Also 100% not true. When you leave the house through death, retirement community or other reason, the agreement with the lender is to pay the loan back within 12 months. This can be done through selling, or refinancing.Myth #3- My credit and income are not required to get a reverse mortgage. Minimal income and credit is required to ensure that taxes and association dues can be paid.Fact- You will never be asked to make a payment EVER on a reverse mortgage if you do 3 things: 1 Live in the property, 2 pay your property taxes yearly, 3 pay your homeowners insurance when it is due.Fact- If you or your spouse dies the other may live there if they wish if it remains their primary residence.There are many myths regarding reverse mortgages. It is important to remember that the guidance of a local professional is key when deciding to apply for a reverse mortgage.Editors Note:. Kevin Mansouri is the owner and operator of Mortgage Solutions LLC based in Salt Lake City Utah. He has originated forward and reverse mortgages for 12 years. He can be reached for inquiries at 801-506-0307 or [email protected] NMLS 1339429/278321

Our country doesn't have adequate programs in place to take care of seniors. Seniors are living longer, pensions are almost nonexistent and social security is shrinking. Medicare covers less, Medicaid is for the destitute. On top of that it has never been more expensive just to exist. A reverse mortgage will never solve this problem, but it can dramatically help. A reverse mortgage converts part of your homes equity into cash that doesn't have to repaid, at least initially. Depending on your age, you can borrow 40-70 % of your homes value to pay off existing mortgages and other debt. You can receive payments and or a lump sum of money. The borrower is never required to make a house payment ever. This is very freeing and can make all the difference.The most common misconception is that the seniors no longer own the home. The fact is, they retain 100% ownership, the same way they do with a forward mortgage. They can sell, refinance, payoff, and their designated heirs are entitled to the home and the remaining equity. The effects of a reverse are the same in many ways as actually having the home paid off free and clear.A reverse mortgage can offer protections that having a paid off home cannot. A paid for house can be an attractive target for lawsuits, and liens. A home with a reverse mortgage is over encumbered, which simply means it does not appear to be paid off. This can be a significant deterrent.Is a reverse mortgage the solution to your retirement needs? Only you can decide.About the author: Kevin Mansouri is the owner of Mortgage Solutions LLC a locally based forward and reverse mortgage company in Sandy Utah 801-506-0307, [email protected]

When people think about reverse mortgages they typically think about refinancing their existing home.There is a new philosophy emerging among baby boomers, and that is purchasing a home utilizing a reverse mortgage. Reverse mortgages can be used purchases and often set seniors up for the best retirement scenario.Scenario: A senior has a home worth 400,000 and has a mortgage for 250,000. The house is more space than she needs. The mortgage note, property taxes, utilities, insurance and maintenance really add up each year. She is on a fixed income. She doesn't want to sell and get another 30-year loan. However, something smaller, a condo perhaps would be really nice and more affordable. Enter the reverse mortgage. Using a reverse, she will purchase a condo for 300,000 and put 100,000 down. Her loan amount will be 200,000. Since there are no payments required on a reverse mortgage she would immediately pocket 1700 per month in mortgage payment savings and have much less utility, taxes and maintenance expense. But she still gets to keep the 50,000 extra from the sale of her home and now has funds to pay off all of her other debt.This hypothetical persons lifestyle is dramatically better. She has created space in her financial life that is allowing her to take a deep breath and enjoy her senior years the way that they were intended.About the author' Kevin Mansouri has been a reverse mortgage specialist for the past 10 years. He founded Mortgage Solutions LLC and can be reached for questions pertaining to reverse mortgages at 801-506-0307 or [email protected] NLMS 278321