Questions to Ask Before You Avail Reverse Mortgage Loan
The reverse mortgage has gained popularity lately for its easy availability and assurance of security for senior citizens throughout their retired life. It gives access to finances as a recurring cash flow against the mortgage of a residential property.
Payments received under the reverse mortgage scheme are tax-free. However, you must ask yourself a few questions before availing this finance. With options like Bajaj Finserv’s Loan Against Property, the questions on reverse mortgage further gain importance.
Ask Yourself these Questions before Availing Reverse Mortgage Loan:
- How Long Do You Wish To Stay In Your Home?
The loan suits borrowers who wish to stay for a long duration in their mortgaged residential property as vacating it permanently invites loan settlement.
If you have plans to shift elsewhere, consider availing a Mortgage Loan from Bajaj Finserv.
- Are You Eligible To Avail This Loan?
To apply for this loan, the applicant must be at least 60 years of age. The mortgaged residential property should be more than 20 years old. Also, you must be residing in it permanently.
If you find any of the criteria challenging to meet, check out the simple mortgage loan eligibility and documentation requirements you need to meet for a Loan Against Property from Bajaj Finserv and follow the simple Mortgage Loan process to apply.
- What Will Be Its Impact On Your Heirs?
Reverse mortgaging a home provides financial security in old age but puts the burden of repayment on the property heir/s. To avoid this, you should opt to avail a total loan amount which is lower than the property valuation.
Alternatively, apply for Bajaj Finserv’s Mortgage Loan. Fill up the online application form and receive approval immediately. The repayment tenure is long and convenient, which makes it easy to repay.
Also Read: What is Loan to Value in Mortgage Loan?
- How Will It Affect Your Spouse Financially?
A loan on reverse mortgaging may lead to foreclosure after the borrower’s death, leaving the spouse in a financial fix. To avoid this, make your spouse a co-applicant.
On the contrary, eliminate any such risk by applying for a Bajaj Finserv Loan Against Property across attractive Mortgage Loan interest rates and nominal additional charges.