Reverse Mortgage Scenarios
Debt
Consolidation
SITUATION: In this reverse mortgage scenario, Harold & Lena had a significant mortgage balance and credit card debt. They wanted to alleviate their monthly debts without having to sell their home or refinance with another 30 year mortgage.

Harold & Lena
SOLUTION: With the HECM Credit Line Harold & Lena achieved their goal by eliminating all their monthly bills as well as qualifying for an additional line of credit for emergencies or anything else they needed.

Growing
Credit Line
SITUATION: George owned his home Free & Clear. Even without a mortgage payment he was just covering his bills but didn’t have enough to do the things he hoped for nor did he have enough money saved for emergencies. He was living month to month and relying on social security and a small pension. He looked into a Traditional Bank HELOC from his bank but didn’t like all the restrictions and limitations and to make matters worse, they turned him down anyways due to his debt-to-income ratio.

George
SOLUTION: Luckily George spoke with a Senior Lending Advisor who approved him for the HECM Credit Line easily due to its minimal qualifications. George liked all of the benefits but there were two that stood out above the rest; First, he would never have to worry about making a monthly mortgage payment on ANY funds he withdrew. And secondly, the unique “GROWTH” feature of the HECM Credit Line would give him the security of an increasing supply of funds at his disposal.
In addition, his HECM Credit line can never be closed, reduced or frozen even if the housing market declines. George breathed a sigh of relief because he finally did not have to live month to month anymore and he has the security to live the retirement he always wanted.

George realized that one of the best retirement investments he made throughout the years was the purchase of his home and now his biggest asset is set to strengthen and enhance his retirement!
Home
Improvement
SITUATION: In this HECM reverse mortgage example, Bob & Joyce were in an older home that was in need of major improvements since it was built back in the 1970s. They needed a new roof, a new A/C unit, and new weather windows. They also wanted to have some cosmetic upgrades done to their kitchen and bathrooms as well as new flooring throughout.

Bob & Joyce
SOLUTION: Bob & Joyce contacted Senior Lending and found that they
were able to open the HECM Credit Line in the amount of $82,000
with no burden of a mortgage payment. The $82,000 was enough
to have the needed home improvements completed, and they also
had plenty left over for the other cosmetic upgrades.

The HECM Credit Line was able to accomplish both of their needs as well as their wants. Making Home Improvements & Upgrades are common uses of the HECM Credit Line.
Payment
Flexibility
SITUATION: Gayle was under
financial stress from the loss of her
husband. He had been battling
cancer and finally passed away
leaving Gayle with numerous
medical bills and collections from
credit cards that she couldn’t pay.
This was compounded with Gayle still having to pay the mortgage payment of $925/month.

Gayle
SOLUTION: Gayle realized that her late husband’s social security income was not going to be enough to pay off all the debt and continue to pay the mortgage. She spoke with a Senior Lending Advisor who educated her about a very simple solution. With the HECM, she was able to pay off her current mortgage and have the FLEXIBILITY to supplement her lost income by using the NO PAYMENT OPTION that the HECM allows. She also had an
additional $60,000 line of credit for emergencies.
