When Traditional Retirement Savings Aren't Enough, a Reverse Mortgage Could Be Your Solution
You’ve worked hard and carefully planned for retirement, but rising costs and unexpected expenses can challenge even the best-laid plans. If you’re seeking greater financial freedom, a reverse mortgage could be a solution to help you live out your golden years the way you want.
First: A quick refresher on what a reverse mortgage is
If you’re 62 or older, a Home Equity Conversion Mortgage (HECM)—also known as a reverse mortgage—lets you access your home’s equity while keeping ownership and staying in your home, as long as you meet your loan obligations, keeping current with property taxes, insurance, and maintenance. You retain the title, with a lien repaid when the loan is due—typically when you sell, move out, or pass away. With a reverse mortgage, you can gain access to income tax-free cash¹ through flexible payout options, such as a lump sum², monthly payments, or a line of credit.
So, how can you use a reverse mortgage?
- Improve your monthly cash flow: With no monthly mortgage payments,³ you can allocate those funds toward everyday expenses, property upkeep, insurance, medical bills, or other unexpected life costs.
- Make home improvements and repairs: Use funds to update, repair, or modify your home to better suit your needs and lifestyle.
- Live the retirement of your dreams: A reverse mortgage can provide the financial means to help you enjoy more entertainment, travel, and adventure.
A great choice: Longbridge Financial
Choosing the right lender for a reverse mortgage is crucial. Longbridge Financial stands out as a leading reverse mortgage lender and servicer, committed to responsibly helping homeowners reshape their financial future by providing valuable education on reverse mortgages. What sets Longbridge apart:
- Industry Expertise: At Longbridge, reverse mortgages aren’t just another product—they’re the sole focus. As an FHA-approved lender, Longbridge fully subscribes and adheres to the National Reverse Mortgage Lenders Association’s (NRMLA) Code of Ethics, ensuring high standards of service and integrity.
- Competitive Pricing: Longbridge offers an industry-leading pricing model that provides substantial savings with no hidden fees, making reverse mortgages more affordable and accessible for senior homeowners.
- No-Pressure Approach: Longbridge believes in empowering you to make informed decisions without any sales pressure, giving you the tools to choose the best option for your future.
- Trusted Reputation: Longbridge maintains an A+ rating with the Better Business Bureau (BBB) and is consistently awarded “Excellent” ratings on Trustpilot, an independent review site.
- Military Discount: As a token of appreciation for those who have served, Longbridge offers a $500 discount to active-duty military members and veterans.4
Click here to get your free reverse mortgage information kit from Longbridge Financial.
How does the process work?
Once you've discussed your financial goals and received a personalized estimate from a Longbridge reverse mortgage consultant, the next step is to meet with a federally approved independent reverse mortgage counselor. The counseling session plays a vital role in helping you as a borrower. It provides the education and resources needed to determine if a reverse mortgage is right for you, explores other financial options that may better suit your needs, and offers guidance to support your decision-making.
After completing the counseling session and submitting your application, the process continues through the following stages:
- Appraisal: A local, independent FHA-approved appraiser will assess your home to determine how much you may be eligible to borrow.
- Underwriting: This step confirms that all requirements for the reverse mortgage are met based on your submitted documentation.
- Closing: A closing agent or attorney will review the loan file and oversee the signing of documents.
- Funding: Once the closing documents are signed, funds will be disbursed within three business days.
Longbridge is committed to making the reverse mortgage process as seamless as possible, offering continuous support and keeping you updated on the status of your loan.
Disclosures:
Money Group, LLC has a business relationship with Longbridge Financial, LLC. This content is sponsored by Longbridge Financial. Trademarks, brands, logos and copyrights are the property of their respective owners.
1 Consult a financial advisor and appropriate government agencies for any effect on taxes or government benefits. [LV1]
2 Borrowers who elect a fixed rate loan will receive a single disbursement lump sum payment. Other payment options are available only for adjustable rate mortgages.
3 As with any mortgage, borrowers must meet loan obligations by keeping current with property taxes, insurance and home maintenance.
4 Longbridge’s Military Discount Program is subject to change or cancellation at any time and without notice. This program offering is valid for an appraisal credit of up to $500.00 off allowable closing costs. This program offering can only be redeemed with Longbridge Financial LLC, and is available to U.S. military veterans, their spouses, and the spouses of deceased veterans. Documentation of military service is required; acceptable documents include DD214 Discharge papers, VA / military identity card, VA benefits summary/award letter for income, and the VA benefits letter. Loans must close and be funded with Longbridge Financial LLC as the lender in order to receive credit. The credit will be applied to the overall cost indicated on the HUD-1 Settlement Statement at the time of the closing. This is not an offer to make you a loan, does not qualify you for a loan, and is not an official loan disclosure. Loan disclosures, including a Good Faith Estimate of closing costs, are provided upon receipt of a completed application. All loans are subject to approval. Program, rates, and additional terms and conditions apply and are subject to change without notice. Offer is not transferable. This offer is not redeemable for cash or cash equivalents. Void where prohibited, taxed or restricted by law. Restrictions apply.
5 Annual HECM Production Numbers - NRMLA
[LV1]Removed; it’s better to keep this disclosure general, since there could be other scenarios where reverse mortgages can impact taxes or other tax nuances involved that are better left explained by the financial advisor.
Longbridge Financial Licensing/Disclosure Information:
This material has not been reviewed, approved or issued by HUD, FHA or any government agency. The company is not affiliated with or acting on behalf of or at the direction of HUD/FHA or any other government agency.
Charges such as an origination fee, mortgage insurance premiums, closing costs and/or servicing fees, if applicable, may be assessed and will be added to the loan balance. As long as you comply with the terms of the loan, you retain title until you sell or transfer the property, and, therefore, you are responsible for paying property taxes, insurance and maintenance. Failing to pay these amounts may cause the loan to become immediately due and/or subject the property to a tax lien, other encumbrance or foreclosure. The loan balance grows over time, and interest is added to that balance. Interest on a reverse mortgage is not deductible from your income tax until you repay all or part of the interest on the loan. Although the loan is non-recourse, at the maturity of the loan, the lender will have a claim against your property and you or your heirs may need to sell the property in order to repay the loan, or use other assets to repay the loan in order to retain the property.
Longbridge Financial, LLC NMLS# 957935. 61 South Paramus Road, Suite 500, Paramus, NJ 07652. 1-855-523-4326. For licensing information, go to: http://www.nmlsconsumeraccess.org. For additional Longbridge licensing and disclosures, please visit: https://longbridge-financial.com/licensing. Longbridge Financial Company Licensing Information: Arizona Mortgage Banker License #0930082; Licensed by the Department of Financial Protection and Innovation under the California Residential Mortgage Lending Act; Loans made or arranged pursuant to a California Financing Law license; Georgia Mortgage Lender Licensee #44082; Massachusetts Mortgage Lender License # ML957935; Licensed by the New Jersey Department of Banking & Insurance; Licensed Mortgage Banker-NYS Department of Financial Services -in-state branch address 6161 South Park Avenue Room 2, Hamburg, NY 14075; Rhode Island Licensed Lender. For California consumers: For information about our privacy practices, please visit https://www.longbridge-financial.com/privacy. Not all products and options are available in all states. Terms subject to change without notice. Certain conditions and fees apply. This is not a loan commitment. All loans subject to approval. Equal Housing Lender.