The National Council on Aging (NCOA) has released the 2013 version of Use Your Home to Stay at Homeã¢, the official reverse mortgage consumer booklet approved by the U.S. Department of Housing & Urban Development (HUD).
Use Your Home to Stay at Homeã¢ is a user-friendly guide to help older homeowners understand the pros and cons of a reverse mortgage. Federal law requires that all individuals who are considering a reverse mortgage receive unbiased counseling by a HUD-approved counseling agency and receive a copy of the NCOA guide.
Also known as Home Equity Conversion Mortgages (HECMs), reverse mortgages allow homeowners aged 62+ to convert a portion of their home equity into cash while they continue to live at home for as long as theyÛªre able. Over the past 20 years, a growing number of older homeowners have used this financial tool. Today, most borrowers use the loans for immediate needs, such as paying off their existing mortgage or other debts. About 33% want to supplement their monthly income, so they can afford to continue living independently in their own home longer.
If you are considering a reverse mortgage, grab this booklet.