Not Enough Equity For A Reverse Mortgage?

Qualifying for a reverse mortgage is based on a number of factors. These factors include age, home value, amount owed on your home, and where you live. Ultimately, a reverse mortgage allows you to access equity in your home. If the equity is not there, a reverse mortgage is often not going to be an option.

One of the benefits of a reverse mortgage is also its downfall for those who do not have sufficient equity in their home. A reverse mortgage requires the first mortgage to be satisfied before it can be implemented. And while the amount of money that can be loaned varies with a reverse mortgage, it is often not higher than 50% of the value of the home. Therefore, if you don’t have 50% of the value of your home in equity, you will not qualify for a reverse mortgage.

If you have sufficient cash from other sources to pay the difference between the amount which can be loaned through a reverse mortgage and the amount needed to satisfy the outstanding mortgage, a reverse mortgage may still be for you. If you were sent to this page by Reverse Mortgage Page, it is because you do not have sufficient equity to qualify for a reverse mortgage.

If you still need to find a way to get more money you can try to consolidate your debt with a home quity loan or refinance your home.