If you’re a couple and seek to finance assisted living arrangements for one spouse while the other remains at home, one option may be a reverse mortgage. These mortgages are available to homeowners age 62 and older. A reverse mortgage can convert the equity of your home into available cash. It works the opposite of a typical loan, in that the lender makes payments to you, rather than you making monthly house payments. You maintain ownership of your home, and no principal or interest payments are required for as long as you live in your home.
The loan is repaid when you cease to occupy your home as a principal residence, whether you sell the home, permanently move out or pass away. Please consult your banking entity before moving forward with this option. Learn more by reading “Reverse Mortgages: Are They for You?”