Seniors Get HUD Counseling to Ward off the Wolves
For a homeowner, the equity in the home, from a monetary angle, is the fruit of originally purchasing the home and then making all of those nasty payments.
The reverse mortgage was originally invented to help seniors with financial issues. Without any other type of savings the homeowner can access the equity to solve money issues.
The reverse mortgage is not without its shortcomings and is not the proper tool for all situations.
A reverse mortgage is marketed by individuals who make a profit only when they can get a senior the loan. This could mean a conflict of interest as these people do not profit by telling a senior to go another route.
I am a lender, and I have a high opinion of most in my field. Nearly all loan officers will give a just evaluation, and handle opinions in a measured honest manner.
That being said a certain minority resides in this business (as with any business), made up of unethical individuals willing to ignore anything associated with the golden rule to get what they want.
I formerly worked in the copier business, and my company (which shall remain nameless) had a saying for the sales people: Whatever it takes. They really meant it too. Do whatever you have to do to make a sale.
A few people in the business of reverse mortgages feel selfishly too, but have faith. You may not see the bad guys coming, but you will have a backup consultant to spot them for you.
The law requires borrowers to counsel with a neutral, third-party, HUD approved reverse mortgage counselor prior to moving forward with the process of a reverse mortgage.
For those being pressured into a reverse mortgage, who could otherwise solve money problems in a less costly way, this is a great little built-in insurance policy. The counselor should be able to weed out poor advice and give the senior educated guidance.
I constantly hear about seniors getting cheated or ripped-off. HUD counseling, in the reverse mortgage business, is very useful in stopping this from happening.
The reverse mortgage was originally invented to help seniors with financial issues. Without any other type of savings the homeowner can access the equity to solve money issues.
The reverse mortgage is not without its shortcomings and is not the proper tool for all situations.
A reverse mortgage is marketed by individuals who make a profit only when they can get a senior the loan. This could mean a conflict of interest as these people do not profit by telling a senior to go another route.
I am a lender, and I have a high opinion of most in my field. Nearly all loan officers will give a just evaluation, and handle opinions in a measured honest manner.
That being said a certain minority resides in this business (as with any business), made up of unethical individuals willing to ignore anything associated with the golden rule to get what they want.
I formerly worked in the copier business, and my company (which shall remain nameless) had a saying for the sales people: Whatever it takes. They really meant it too. Do whatever you have to do to make a sale.
A few people in the business of reverse mortgages feel selfishly too, but have faith. You may not see the bad guys coming, but you will have a backup consultant to spot them for you.
The law requires borrowers to counsel with a neutral, third-party, HUD approved reverse mortgage counselor prior to moving forward with the process of a reverse mortgage.
For those being pressured into a reverse mortgage, who could otherwise solve money problems in a less costly way, this is a great little built-in insurance policy. The counselor should be able to weed out poor advice and give the senior educated guidance.
I constantly hear about seniors getting cheated or ripped-off. HUD counseling, in the reverse mortgage business, is very useful in stopping this from happening.
About the Author:
Get comprehensive guide to the California reverse mortgage make it over to this website. For all the skinny, go the California reverse mortgage fact sheet.
posted by Debt Consolidation Loan at
8:43 PM
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