What is a Reverse Mortgage?

It is a Loan on the equity that has built up over time in your home. This type of loan is sometimes called a non-recourse loan ( no debt is left to the heirs)

If the balance of the loan is less than the market value of the home , there is no debt to the heirs, If there is equity left in the home it is retained by the owner or the heirs.

A reverse mortgage is like any other loan you apply for,  there are a whole bunch of things that are in place to  protect the lender and the homeowner, so there are very specific steps to go through to qualify for a reverse mortgage

You will have a better chance to qualify for this type of loan if your home is mortgage free, you will be able to access a larger amount of money this way.

Have you ever thought about a Reverse mortgage and wondered how they work? 
Are they any good, will they do what you intended it to do, and do you get good value for your home?

Each Country has different regulations and rules to govern the use of reverse mortgages.

over the next few weeks we will discuss the use and value of Reverse Mortgages 

The Canadian reverse mortgage was originally developed to help cash strapped seniors, but was used primarily by well-off seniors. These well-off seniors viewed the reverse mortgage as a way to gradually sell off their home without having to move.
No doubt you have seen the Adds on TV with all kinds of celebrities telling you haw good they are, there will be more discussion on this subject later. 
 The most common use of the reverse mortgage is to pay for their children to purchase their first home or help grandchildren's educations.