Reverse Mortgage-anybody have info/experience? - Posted by Ray

Posted by chris on October 28, 2000 at 18:56:50:

Ray-

It is a way for a terminally ill person to receive cash now (tax free under certain tax guidelines) for their life insurance policy. This person is given the cash and does what they he/she wants to do with it. It is one option to consider. You can also call the insurance company itself to inquire about an advance on the death benefit. Check these sources out to get some info:

http://www.ftc.gov/bcp/conline/pubs/services/viatical.htm

http://www.insurance.ca.gov/LGL/Viaticalinfo.htm
(California related, check your state insurance dept for state specific info)

http://www.nationalviatical.org/

-Good Luck,Chris

Reverse Mortgage-anybody have info/experience? - Posted by Ray

Posted by Ray on October 27, 2000 at 06:40:02:

Hi All,
In response to my post(down the page just a bit) concerning my Mom’s situation. Dave_rei3, has suggested that she may be a candidate for a “Reverse Mortgage”. I will certainly check with the bank, I’m wondering if anybody here has had any experience with this? Is there anything I should be aware of prior to checking with the bank?
Any thoughts on this process?
Thanks in advance
Ray

Thanks for your help, however… - Posted by Ray

Posted by Ray on October 28, 2000 at 11:34:09:

it appears the max loan for a “Reverse Mortgage” is 26% LTV. These are designed for “Free and Clear” or very near, properties.
I will keep looking for a solution.
I really do appreciate your help and concern. thanks ever so much.
if you folks have any other ideas please don’t hesitate to mention, there is no telling what might work.
Thanks,
Ray

Re: Reverse Mortgage-anybody have info/experience? - Posted by chris

Posted by chris on October 28, 2000 at 03:20:03:

http://www.hud.gov/senior.html

Check the link above out for info, including scams related to reverse mortgages.

-Good luck,Chris

Safe reverse mortages - Posted by Brent_IL

Posted by Brent_IL on October 27, 2000 at 09:34:23:

In general, the safest RM loan for your mom (borrower) is FHA-insured. Talk to a bank that does a lot of FHA loans, or contact the local HUD office for a referral.

http://www.reverse.org/ - Posted by Mrs SD

Posted by Mrs SD on October 27, 2000 at 09:28:32:

nt

Re: Thanks for your help, however… - Posted by chris

Posted by chris on October 28, 2000 at 16:28:22:

Ray-

I didn’t read the responses to the post below so sorry if this has been mentioned already. What about a viatical?

-Chris

what is a viatical? (nt) - Posted by Ray

Posted by Ray on October 28, 2000 at 16:47:05:

nt

Re: what is a viatical? - Posted by Bill Gatten

Posted by Bill Gatten on October 28, 2000 at 19:05:36:

The most common viatical today is the purchase of life insurance benefits from someone who is terminally ill. The sick person has to prove that he or she is definitely going to die soon, whereupon you buy out their life insurance policy for cash. They die, you get rich and the dead guy had some serious money to spend in the singles bars while he was dying. A bit morbid sounding, but a good deal for the terminally ill patient.

Problem with viaticals nowadays, is that they’re finding cures for everything…and you never know that your guy won?t find a cure and welch on you. He?s liable to come back later and announce that he just bought YOUR viatical. There is just no justice in the world. When the Doctor says you only have 90 days to live, then you should honor that as a commitment and do as he says. Otherwise, another poor unsuspecting investor is going get taken to the cleaners.

If anyone is interested in partnering up, I?m thinking of founding a non-profit viaticals enforcement agency. It surely is needed. ?No doubt about that! When the Doc say 90 days?we make it 90 days!

Bill