Page 8 - Your Guide to Accessing Home Equity 7.18.17

#3 Converting Home Equity into Cash with a
Reverse Mortgage loan

A Home Equity Conversion Mortgage (HECM) loan, also
known as a reverse mortgage, can help enhance your
retirement lifestyle. A HECM loan allows you control over
your finances by offering flexible payments, customizable
payout options and line of credit growth (variable rate
loans).

Here are some ways older Americans
typically use a HECM loan and access a

portion of their homes’ equity:

p Defer tapping into your retirement funds and
let your investments grow

p Eliminate monthly mortgage payments
(Borrowers must continue to pay property

taxes, homeowners insurance, and maintain
the property.)

p Pay off medical or credit card bills

p Defer Social Security benefits

p Setup a HECM line of credit for future
emergencies or unplanned expenses

p Allow time for investment recovery in a down
market

p Provide a tax-free supplement to income

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