A reverse mortgage is a way for seniors to take some of the value out of a home they own and free of any other mortgages or liens. Payments are made by the mortgage lender to the best place to get a mortgage borrower, rather than the other way around. The only way to resolve a reverse mortgage is to pay back the mortgage lender who holds the mortgage. There are two ways to do this: sell the property, mortgage refinance a traditional mortgage loan or pay the reverse mortgage lender with a cash equivalent.
Things you need
- Reverse mortgage declaration
Evaluate the amount of gain. Contact the reverse mortgage lender and express your interest in solving the reverse mortgage. Ask the amount you need to come up with in order to get rid of the reverse mortgage.
Evaluate your options. Assess which of the three main ways to solve the reverse mortgage are viable for you. For example, if you want to continue living in the house, then refinancing or gaining the reverse mortgage is an option.
Choose one of three methods so that you can make arrangements to resolve the mortgage.
Contact a real estate agent at the list of home for sale or contact best place to get a mortgage lenders for mortgage refinance information. If you have enough money to pay the reverse mortgage balance, then contact the reverse mortgage lender for instructions on making the final reward.
Reimburse the reverse mortgage. Use the proceeds from the home sale, or arrange for the new mortgage lender to pay off the existing reverse mortgage balance, or make the last payment of your own cash savings.
Get a winning letter. Once the reverse mortgage has been paid, the reverse mortgage lender is responsible for recording the gain in county public records and removing the lien from the property. Also, be sure to get a winning letter from the reverse mortgage company to keep for your records as proof of payment.
How to extend my mortgage
You have had a mortgage for several years and made repayments on time, but your personal finances may have changed, or maybe you have a variable mortgage rates and interest rates have gone up. You want to reduce your monthly repayments making it more affordable. The fastest way is to extend your mortgage.
Review your monthly budget carefully. Detail of your income and expenses. Calculate how much you can afford to repay your mortgage when is extended.
Contact your mortgage lender before you have problems with repayments (see Resources). Late or missed refunds are recorded on your credit report, making it difficult to obtain credit, and could affect your ability to extend your mortgage.
Arrange to meet in person. You will get a better answer from your lender. Take your budget details with you. Explain your situation. Talk to your lender you want to extend your mortgage and reduce your monthly repayments.
Check the costs that can apply. Ask if they can be included in the extended mortgage. The costs will be subject to interest charges, if it is added to your mortgage. Check the other requirements.
Fill in the forms to extend your mortgage. You will receive approval by mail as well as new documents to sign.
Check the documents carefully. Check that the information is correct and, above all, ensure the new refunds are within your budget. Sign a copy of the forms and send it to your lender. You have successfully extended your mortgage.
How to calculate mortgage payments using a mortgage calculator
You do not have to look far to find a plethora of mortgage calculators available for free use on the internet. With some basic numbers, you can use these calculators to crunch your numbers and understand what your monthly expenses will be in relation to a mortgage. Calculate mortgage payments using a mortgage calculator and you’ll know quickly if you can afford to make an offer on a home.
Determine how much of a mortgage loan you need or want. This would be the amount of money financed for a home – the purchase price minus your down payment. If you are refinancing, this would be the outstanding amount that shows on your most recent mortgage statement.
Enter the term of the mortgage – either in years or months, depending on the configuration of the mortgage calculator.
Enter the interest rate you expect to pay for your financing. If you have consulted with a lender already for pre-screening, the lender will give you the interest rate to which you are entitled.
Click on the start date you are waiting to start making payments and click on the “calculate” button.
Tips & Warnings
Experiment with different parameters of the calculation tool. For example, if you change the interest rate even by a quarter of a percentage point, you will see a dramatic difference in the calculation of the mortgage.
The mortgage calculator will deliver payments of principal and interest only.