Even though there are no monthly mortgage payments, you are still the owner and must fulfill these obligations to keep the loan in good standing: Pay all and homeowners insurance premiums. Keep the home in good repair and maintain FHA standards. Pay any applicable HOA fees . Pros and Cons
Instead of buying a home with cash or a traditional mortgage, you use a substantial down payment combined with the reverse mortgage proceeds to cover the purchase price. can you buy a house with a reverse mortgage
: Keeps more of your nest egg available for other expenses. Even though there are no monthly mortgage payments,
: You typically need to provide a down payment of roughly 45% to 62% of the purchase price, depending on your age and current interest rates. Older borrowers generally need to put down less. Pros and Cons Instead of buying a home