Individuals who previously failed to qualify for a reverse mortgage may now find they do so, thanks to these changes, reports Reversemortgageguide.ca
Victoria, BC -- (SBWIRE) -- 10/28/2014 -- According to Rate Hub, approximately 50 percent of Canadians over the age of 50 worry that they won't have enough money for retirement. In fact, they state they believe their savings will be gone within ten years of stopping work. Individuals aged 55 and older qualify for a reverse mortgage as long as they have equity built up in the home. Request a Free Guide for Canadians on Getting a Reverse Mortgage to learn more about this program and the Pros & Cons of a Reverse Mortgage as a Retirement Strategy.
"Individuals spend years planning for retirement, yet often find they cannot afford to do the things they dreamed of. With rising costs on essentials, more now find they are in this situation. With the help of a reverse mortgage, many individuals find they can obtain the money they need to live life as they dream. Anyone running short on retirement funds should check this option out," Kam Brar, spokesperson for ShangriLoan Ventures, LTD, declares.
Canadians now receive the option of obtaining up to 50 percent of the value of their home, in cash, using a reverse mortgage loan. Until recently, homeowners found they were limited to obtaining 40 percent of this value, yet this recent change allows homeowners to obtain more. Another change made involves the age at which one may take advantage of this program. The age requirement recently changed from 60 years to 55 years for the homeowner to qualify.
Brar carries on to say the Canadian government understands the rising cost of living impacts many individuals. A reverse mortgage assists those who find they regularly run short on funds. Payments may be received as a lump sum, as a line of credit, in monthly installments, or using a combination of these methods. Individuals aren't limited in what they may do with the funds either.
Reverse mortgages differ from a HELOC or home equity loan of credit in that no payments must be made to the loan provider. The loan only comes due when the home is sold or when the homeowner permanently leaves the home, and interest rates tend to be very comparable to those seen with other borrowing options currently offered. Individuals wishing to know more about this program should request the guide today to have all questions answered.
"With the help of this guide, consumers learn the answers to common questions surrounding reverse mortgages. In addition, one determines if they qualify for this program and how a reverse mortgage differs from a regular mortgage. The guide goes on to explain the pros and cons of this borrowing option, a concern of many, as ShangriLoan Ventures wants consumers to make an informed decision concerning a reverse mortgage in the context of their financial future," Brar explains.
About ShangriLoan Ventures, LTD
ReverseMortgageGuide.ca, a member of the ShangriLoan Ventures network, educates Canadian borrowers and has been successfully doing so for more than four years. ShangriLoan connects prospective, eligible buyers with local, licensed professionals who can assist them in finding the appropriate financial product in their region.