I have been in the mortgage business for over 37 years. When I moved here I took a reverse to buy my property. The new approval guidelines are that you have to have enough income or cash reserves in order to pay your taxes , insurance and maintenance. The only way they can foreclose is if you move dont pay the cost of maintaining your property or taxes and insurance. Even if you move out you have a year to year and a half to resolve what you are going to do with the loan. I have bought 2 properties that had reverse mortgages and they where both under water. What is nice about them is that if that happens they can not go after.the estate for the shortfall. If I did a regular. Mortgage when I got here it would have cost me more that $1000 per month to live.here. now I can pay all my expenses with my social security and small pension. Before you can take out an reverse mortgage you have to take a third party class to make sure you understand what you are getting involved in
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