Seniors tap home equity with reverse mortgages

Posted by News Feeds

November 7, 2007

Seniors tap home equity with reverse mortgages,

Three years ago, Robert Donegan Sr. crushed four of his vertebrae in a car accident. After an extended stay in the hospital and a long road to recovery, the bills piled up and his James Island home looked neglected.

Now 87, Donegan is back on his feet. He has the peace of mind that he can pay his bills, and if he needs a new washer-dryer, he can go out and buy one.

Oh, and he’s very proud of his new car.

“I had to depend on my daughter,” he said of his recovery period. “Not any more.”

Donegan didn’t win the lottery. Rather, he’s typical of a new wave of senior borrowers opting for a brand of alternative financing called home equity conversion mortgages, commonly known as reverse mortgages.

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Full post here Reverse Mortgage Loan Blog