Brixdale is a company offering reverse mortgages. They refer to the reverse mortgage on their website as an “inverse mortgage”, just so you know.
Unfortunately you can’t actually view anything on their website unless you have a Referral Code. That makes them pretty suspicious, in my opinion.
I would never trust them with my mortgage.
While researching reverse mortgages, I encountered a few life expectancy charts. Some were referred to as “annuity mortality” charts.
They were supposed to be useful tools for deciding whether a reverse mortgage would make sense for someone.
According to them, if you are under 70, it’s probably not a good idea to get a reverse mortgage because you have too much of your life left. The articles accompanying these charts suggest that if you’re in your 70s or 80s, you don’t have as much of your life left, so a reverse mortgage may be more appropriate.
What if I live to be over 100? I certainly hope that I do.
Sounds scary, doesn’t it?
Well, that’s what you are doing when you take out a reverse mortgage. Think about it before you act.
In an article on Real Estate Journal, the risk is described:
“A lot of people who take out reverse mortgages can’t qualify for a forward mortgage,” says Ken Scholen, head of AARP Foundation’s reverse-mortgage education project. “They just don’t have the income.”
According to the AARP website and Wikipedia, there are four ways of getting the cash:
1. A big lump sum check.
2. Monthly checks.
3. With a “creditline” account. So you decide when and how much cash you get.
4. Some combination of the above three methods.
Reverse mortgages are mortgages that you don’t have to pay until you move to a new home, or until you die.
Having a reverse mortgage means that you take out money as a loan against your home.
So basically it’s free cash for you, assuming that you’re not going to move, and assuming that your kids are doing just fine and could afford a little less inheritance when you die.
The AARP website has a section devoted to reverse mortgages:
http://www.aarp.org/money/revmort/
AARP is an organization for retired persons. People in retirement are supposedly the best candidates for reverse mortgages.
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