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Bobbie Said:

heirs and reverse morgtage upon death of home owner?

We Answered:

That would be rather stupid. Why wouldn't they just sell the home, and then get a lump sum for the equity?

A reverse mortage is just a loan against the equity, so they are just borrowing against their own money, and then paying interest on it. Reverse mortages have fixed terms as well, even if the person who took out the loan when ther term expires, then have to pay the mortage back in one lump sum, usually by selling the home.

Carmen Said:

Reverse Mortgage, home forclosure?

We Answered:

The proper thing is not to loan her anything. You are not a bank.

The only way to get the message across is to tell her straight out. I know it's uncomfortable, but only for a moment. Otherwise you will still be dealing with this in the future.

Pearl Said:

my mom's reverse mortgage loan?

We Answered:

You need to read the loan documents and any other documents your mother executed in connection with this loan very carefully to determine what options are available to you, if any. If you are unable to understand the legal gobbledy **** you can hire an attorney to read and interpret these documents for you and it shouldn't cost you very much - a few hundred dollars at most and it would be well worth it. I think however that once your mother passes, title to the property will pass to the maker of the loan and they will, at that point, move quickly to sell the property as soon as possible to recover their investment.