Are Reverse Mortgages A Scam - Z Reverse Mortgage

Are Reverse Mortgages A Scam?

Are Reverse Mortgages A Scam?
Love them or hate them reverse mortgages are here to stay. We
typically see reverse mortgage commercials on tv portrayed by some
type of tv personality or celebrity… To help us understand if reverse
mortgages are a scam we need to first find out where the core
is. Reverse mortgages are not private loans, but government insured
loans. Government loans have strict guidelines that the banks have to
abide by. These guidelines must be met before the Federal Housing
Administration (FHA) insures the loan.
Currently, smaller banks/mortgage companies mostly offer reverse
mortgages as many banks such as Bank of America and Wells Fargo
fled this sector many years ago. The problem is that the growing need
for reverse mortgages is growing. As seniors retiring don’t nearly have
enough investments and income vehicles they must rely on their home
equity. Retirees are having a harder time retiring with the new market
shifts and uncertain economy.

Are Reverse Mortgages A Scam?
Luckily things are changing as big names such as BNY Mellon is
entering the reverse mortgage market. With this shift in place many
people are starting to believe that the reverse mortgage may be just a
suitable plan for them.