Updated about 8 years ago on . Most recent reply
Reverse Mortgage qu!
Ok trying to help a friend.
Might do a reverse Mortgage and spot the input needed on his behalf.
(The calculator per the underwriter shows an input needed).
My question is at the end of the seniors life, how do they come up with the loan amount that has to be paid off..
Can I arrange it so in return he names me as beneficiary (he is no heirs) and will I be able to pay off the loan (and at what level?) to purchase the house?
Or will I have to pay the bank the market price of the house?
Surely I just would have to pay back the loan.
If so, how does it work?
Do I have to pay back the number the bank comes up with NOW as we get the loan, or is it a future amount adding interest???
Ie: does the loan PAYOFF amount keep increasing over time?