Thousands of Canadians are using reverse mortgage facilities as a part of their retirement solutions. These mortgage solutions are made for those above 55 years of age, and this type of mortgage is useful for the homeowners to turn their home equity into a tax-free cash amount.
However, if you are new to this mortgage and all, you might get confused by myths and facts that are quite popular in Canada. If you start to believe in the myths, you will always feel stressed while buying the mortgage. In this blog, you will know about the myths and facts on a reverse mortgage in Vancouver–
Myth 1- You Must Be Above 65 Of Age
Fact: No, it is not the case. If you are 55 or above, you can easily go to the reverse mortgage facility. 70% of Canadians think that they will not have enough money after retirement, and hence, this reverse mortgage is best.
Myth 2- The Application Process Is Tough
Fact: the truth is that the reverse mortgage process is much easier than you have thought off. Hiring an experienced mortgage broker will make the process hassle-free and simple. If you feel that you cannot avail of the mortgage, consult with a broker now.
Myth 3- You Might Be Evicted If You Miss The Payments
Fact: there is no schedule of payments with the reverse mortgage. You and your spouse can continue to stay in the home for the rest of the lives without even making a single payment. This is because the equity in the home covers a reverse mortgage.
Myth 4- The Lender Owns The Money
Fact: No, never, the lender owns the money. You can stay at home for as long as you want. You require paying the property taxes and other maintenance fees to maintain the property, and be sure to have fire insurance.
Myth 5- The Bank Can Sell Or Foreclosure The Home At Any Time
Fact: The Vancouver reverse mortgages are lifetime product.
Hopefully, you know that most of your myths are cleared, and now you can choose a reverse mortgage if you are above 55.