Yes. In most cases a homeowner who has put his or her home in a living trust can usually take out a reverse mortgage. A review of the trust documents would be made by the reverse mortgage lender to determine if anything in the living trust would be unacceptable.

First and foremost, the reverse mortgage must be on the borrower(s) primary residence, that is, where they live most of the year. Most reverse mortgages are taken on single family, one-unit homes. Some programs also accept two-to-four unit buildings that are owner-occupied. Some programs grant reverse mortgages on condominiums and manufactured homes built after June 1976. Mobile homes and cooperatives are generally not eligible for a reverse mortgage. Go to http://www.financialfreedom.

A reverse mortgage is a loan that enables senior homeowners, age 62 and older, to convert part of their home equity into tax-free* income-without having to sell their home, give up title to it, or make monthly mortgage payments. The loan only becomes due when the last borrower (s) permanently leaves the home.

Both a reverse mortgage and a home equity loan use the equity you have built up in your home to provide you with readily available cash. They differ in that with a home equity loan you must make regular monthly payments of principal and interest. However, with a reverse mortgage you do not make any monthly mortgage payments for as long as you stay in the home.

It's absolutely false. The borrower retains title to the property. The reverse mortgage lender is merely extending a loan to the borrower. Because the homeowners retain title, they remain responsible for the payment of property taxes, insurance, utilities, home maintenance, and other expenses - just as they would with a standard first mortgage or home equity loan.

No they cannot. And the loan is not due at that time either. In fact, you don't need to repay the loan as long as you or another borrower continues to live in the house and keep the taxes paid and insurance in force.

Borrowers must be at least 62 years of age for most reverse mortgages and generally must occupy the home as a principal residence (they must live there the majority of the year). Single family one-unit dwellings are eligible properties for reverse mortgages. Some programs may also accept 2-4 unit owner-occupied dwellings, along with some condominiums, planned unit developments, and manufactured homes. Generally, mobile homes and cooperatives are not eligible.

You can sell your home at any time and pay off the loan from equity just as you would with a traditional mortgage. To qualify for a reverse mortgage, however, you must reside in the home.

The Bad News: These costs can be significant. Generally speaking, if you don't think that you will remain in the house for longer than another five years, a reverse mortgage might not be the most financially advantageous decision.

Answer: Homes placed in a "living trust" will qualify for a reverse mortgage. The "living trust" documents will be reviewed by a real estate attorney for approval. Answer: As Power of Attorney, you will be able to be the main contact person, but the homeowner listed on the title must attend counseling and sign the application documents.

No monthly mortgage payments. You need not pay back the reverse mortgage loan nor make any monthly mortgage payments until you permanently move out of the home. Tax-free money. Because the money you receive from a reverse mortgage is not considered income, it is tax free* and will not affect your Social Security or Medicare benefits. Freedom and flexibility. The money you get from a reverse mortgage is yours to use in any way you choose.

This is a federally mandated feature of the reverse mortgage process and is designed for your protection. The counselor, who is from an independent government-approved housing counseling agency, explains in detail the pro's and con's of all your reverse mortgage alternatives.

Yes. You may be eligible for a reverse mortgage even if you still owe money on a first or second mortgage. The funds you would receive in the reverse mortgage would be used to pay off whatever existing mortgages you have on the property.

Yes. Since the value of your home is a factor in determining how much money you can get from a reverse mortgage, an appraisal is required. Normally, the lender will order the appraisal, which is

Reverse Mortgages enable you to turn the value of your home into cash to fund your retirement plan. Reverse Mortgages can be tailored to your needs. You can take cash out of your home: As a credit line account that lets you customize when and how much is paid to you - changing over time as your needs change

A "Living Trust" is usually a Will substitute. The Trust avoids the delay and expense of probating a Will. Your estate remains confidential, rather than being a public Probate Court record. Tax saving provisions are often included. A "Living Trust" is like having your own corporation. You put all of your assets ? family home, bank accounts, etc. ? into the Trust (the "corporation"). You name yourself as "Trustee" (the "President").

A homeowner who has put the home in a living trust can usually take out a reverse mortgage, subject to review of the trust documents.