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Reverse Mortgages

  • Offered to borrower age 62+
  • No mortgage monthly mortgage payment (uses up the equity in home instead)
  • Alleviates burden of mortgage payment for elderly
  • Borrower cannot be kicked out of their homes for lack of equity once loan is established
  • Equity in property gets less and less the longer the borrower lives in home
  • Compounding interest accelerates the equity loss the long the loan is in effect

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