What is a Reverse Mortgage and How Can You Get One in New Jersey

A reverse mortgage in New Jersey is really a mortgage for seniors. It enables homeowners over the age of 62 to borrow against the equity in their home without having to sell their home. This is now a very popular trend in New Jersey. The proceeds from the loan can be used for anything, and can be taken out in a lump sum payment, a fixed monthly payment, or a line of credit. The amount of the loan will depend on the age of the borrower and the current interest rates, as well as the value of the home. You may want to find out in advance the exact value of your home. In New Jersey the rates have been on the high side lately. So it may be best to wait until the rates drop a bit. But if you live in New Jersey and are contemplating getting a reverse mortgage there are several risks that come along with this as well. According to a report by the NCOA “there are about 13.2 million American households that are age 62 or older who are good candidates for a reverse mortgage.”

Many homeowners in New Jersey choose to use the money from a reverse mortgage to pay for their own long term care. To find more information on this you can visit the National Reverse Mortgage Lenders Association website at www.reversemortgage.org. This helps to relieve family members of the financial burden that comes with caring for an elderly parent. But how can you go about getting a reverse mortgage in New Jersey? First you need to find a lender that participates in this program. In New Jersey this is sometimes easier said than done. Many seniors in the state have had a very difficult time trying to find lenders that are willing to do the paperwork for this type of mortgage. The best way to begin your search is to start online using your google search engine. There you should be able to find a list of lenders in your area who are both willing and able to help you. Give them a call prior to visiting their office. This will allow you the opportunity to evaluate how helpful they are over the phone, and they should be able to give you a list of items to bring with you. It is always better to know in advance what you need, so that all of the paperwork can be taken care of quickly.