Reverse mortgages can be used to supplement retirement income, pay off debt, or cover unexpected expenses.
Homeowners must continue to pay property taxes, insurance, and maintenance costs while they have a reverse mortgage.
With a reverse mortgage, homeowners can convert a portion of their home equity into cash without selling their home.
Reverse mortgages do not require monthly mortgage payments, but the loan must be repaid when the borrower no longer uses the home as their primary residence.
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Notice To Texas Loan Applicants: Consumers wishing to file a complaint against a mortgage banker, or a licensed mortgage banker residential mortgage loan originator, should complete and send a complaint form to the Texas Department of Savings and Mortgage Lending, 2601 North Lamar, Suite 201, Austin, TX 78705. Complaint forms and instructions may be obtained from the department’s website at www.sml.texas.gov
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A toll-free consumer hotline is available at 1-877-276-5550. The department maintains a recovery fund to make payments of certain actual out of pocket damages sustained by borrowers caused by acts of licensed mortgage banker residential mortgage loan originators. A written application for reimbursement from the recovery fund must be filed with and investigated by the department prior to the payment of a claim. For more information about the recovery fund, please consult the department’s website at www.sml.texas.gov