Posted on: 13th Dec, 2009 11:16 pm
My father just passed away on december4th 2009, he has a reverse morgage on the home. He has had this for about 6 or 7 yrs, the payback amount is 50,234.00 the original amount of the loan was 40,000. Now the QUESTION is What do i do to keep the home?
When I get the life insurance money can i just pay it back with that? It will only cover about half of the 40,000 and then payback monthly after that. This has been our home for well my whole life, which is 30 yrs. My sibblings and i want to keep the home and not lose it. I f you could please help me with these questions i would appreciate it .
Thanks
Rhonda
When I get the life insurance money can i just pay it back with that? It will only cover about half of the 40,000 and then payback monthly after that. This has been our home for well my whole life, which is 30 yrs. My sibblings and i want to keep the home and not lose it. I f you could please help me with these questions i would appreciate it .
Thanks
Rhonda
You can keep paying them from life insurance money & after that you have to keep paying them from your earning its required if you wish to keep home.
Thanks.
Thanks.
To Rhonda,
As far as I'm aware of, you will have to repay the reverse mortgage loan in full in order to keep the home. The reverse mortgage becomes due and payable when the borrower dies. As heirs you will have to either sell the property and pay off the mortgage or repay the entire outstanding balance in full. You can use the insurance money to pay off the reverse mortgage. But if the money does not cover the full mortgage amount, you will have to come up with the rest of the money. Else, the mortgage company will take over the possession and sell off the home.
As far as I'm aware of, you will have to repay the reverse mortgage loan in full in order to keep the home. The reverse mortgage becomes due and payable when the borrower dies. As heirs you will have to either sell the property and pay off the mortgage or repay the entire outstanding balance in full. You can use the insurance money to pay off the reverse mortgage. But if the money does not cover the full mortgage amount, you will have to come up with the rest of the money. Else, the mortgage company will take over the possession and sell off the home.
