Reverse Mortgage


A reverse mortgage uses the home equity of the borrower to free up funds.

Reverse Mortgages aren’t essentially the most flexible way to borrow—they are only available to individuals 62 and older, for instance—so your Direct Capital Funding officer will go through all of your options before deciding for sure that the reverse mortgage is the best one. In the right circumstance, a reverse mortgage is a powerful way to tap into your most valuable asset to pay for your changing needs. There are several ways to set up this kind of loan, and that’s why we always suggest partnering with a trusted mortgage lender to make sure yours is customized perfectly.

The concept is similar to a second mortgage or home equity loan, and the amount of the loan grows over time, as opposed to shrinking with each monthly payment. Instead of paying money to your lender each month, you get the money in one lump sum or installments. The money can go toward just about anything, from supplementing income to covering health costs, to boosting savings. The amount of money you get depends on several factors and assumptions that also dictate how long the loan will last. Want to know right now if you qualify for a reverse mortgage? Call Direct Capital Funding today for an initial 30-minute call, or to make a one-hour in-person meeting.

The most elegant payout option is to take all of the funds as a lump sum, meaning you will have a fixed interest rate, and your loan balance will grow as your interest accumulates. On the other hand, you may choose to receive regular payments that can last for your entire life, or for a set number of years. Alternatively, a line of credit could be set up which allows you to draw on funds occasionally. Can’t decide on just one way to receive your money? Work with a Direct Capital Funding mortgage officer to come up with a completely customized payout scheme that fits your needs and lifestyle. Hit the “schedule now” button to set up your 30-minute initial phone call or a one-hour office visit.