Virginia Reverse Mortgage

Reverse Mortgages Example #1
Profile - William and Betty

Age - William 77, Betty 75 ( reverse mortgages are calculated using the youngest owners age )

Home value - $375,000.

Equity - $375,000.

Problem - How to supplement monthly income to help pay for medical and medication expenses.

Solution - A reverse mortgage will provide $218,419. tax free* in one lump sum or credit line or $1495. per month.

Reverse Mortgages Example #2
Profile - Charles and Judy

Age - Charles and Judy are both 68

Home value - $165,000.

Equity - $165,000.

Problem - They would like to travel in their motor home but lack the extra income needed to pay the added expenses of travel.

Solution - A reverse mortgage of $82,419. will give them $519 per month of extra tax free* income.

Reverse Mortgages Example #3
Profile - Mary S.

Age - 72

Home value - $250,000.

Equity - $210,000. with a mortgage balance of approx. $40,000.

Problem - Mary lives alone and wants to stay in her home but is having difficulty meeting expenses. Her mortgage payment is $611. per month. With her Social Security income and pension she is still short $187. per month.

Solution - A tax free* reverse mortgage for $129,138. Taking a lump sum of $40,000. to pay off her existing mortgage and the balance in monthly payments of $561. After paying off the mortgage, Mary's monthly income rises to $1172. ($611. mtg. paym't plus $561 from the reverse mortgage).

Reverse Mortgages Example #4
Profile - John and Joanne

Age - John is 82 and Joanne is 80

Home value - $850,000.

Equity - $850,000.

Problem - Their income is sufficient to live as planned but they would like to assist with the college tuition for their two grand children.

Solution - A reverse mortgage credit line of up to $265,411. Then each grandparent can gift, each year, to each grandchild, the amount currently allowed by law*. Income from a reverse mortgage is currently tax free*.