Reverse Mortgages For Senior Home Owners
Older Americans seeking physical and financial independence are
turning, in record numbers, to Wells Fargo Home Mortgage for their
reverse mortgages, which convert home equity into tax-free funds.� In
2003, an unprecedented 9,974 Wells Fargo Home Mortgage customers took
out reverse mortgages worth $1.7 billion, compared to 4,210 in 2002 or
a 137 percent increase over 2002
Even� though most older adults own their homes debt-free, with the
fixed-income they are receiving from Social Security and/or pensions, a
growing number of seniors are finding it harder to make ends meet with
their everyday costs of living expenses.� Many are finding the money
they need by turning to a reverse mortgage.
Eligibility for a reverse mortgage depends on two factors:� age and
homeownership.� No income requirement exists, and credit history is not
considered.� Reverse mortgages are for people ages 62 and older who own
their own home.� The loan draws on the equity established in the home.
"Reverse mortgages are a great way for seniors with built-up equity in
their homes to generate income to meet an extraordinary expense or an
immediate need," said Jeffrey Taylor, vice president of senior products
for Wells Fargo Home Mortgage.� "We have seen tremendous demand for
reverse mortgages over the last few years."
�
Taylor believes there are three primary reasons for the growth:� a
better understanding of the product; an aging population; and an effort
by various organizations to promote the benefits and flexibility of the
product.
A reverse mortgage is a loan that enables senior homeowners to convert
part of the equity in their home into tax-free income without having to
sell their home, give up title or take on a new monthly mortgage
payment.� Seniors can use these funds as they wish - to supplement
retirement income, pay off existing liens, cover medical expenses, make
home improvements or even take a vacation.
With a reverse mortgage, a senior borrower never makes monthly payments
until he or she moves, sells the home, or vacates the home for other
reasons; never gives up title; never is forced to move; and never owes
more than the sale price of the home or the amount borrowed, whichever
is less.
A reverse mortgage is a privilege of longtime homeownership and an
opportunity for eligible seniors to ease their financial burden, secure
independence and promote peace of mind.� Reverse mortgages are not for
everyone so Wells Fargo Home Mortgage recommends consulting with a
financial advisor.
For more information about reverse mortgage products and services,
visit Wells Fargo Home Mortgage on the Internet at
www.reversemortgages.net or call (800) 336-7359.
Wells Fargo Home Mortgage, headquartered in Des Moines, Iowa, is a
leading originator and servicer of residential mortgages.� A subsidiary
of Wells Fargo & Company (NYSE: WFC), Wells Fargo Home Mortgage
serves all 50 states through the leading mortgage lending network in
the country, with a presence in more than 1,900 mortgage and Wells
Fargo bank stores and on the Internet.� Combined, its retail and
wholesale lending operations provided funding for approximately one of
every eight homes financed in the United States in 2003.
*Based on statistics compiled by Inside Mortgage
Filed April 2004, Wells Fargo Bank. |
