This article is dedicated to the sand•wich gen•er•a•tion — noun   a generation of people, typically in their thirties or forties, responsible for bringing up their own children and for the care of their aging parents (and also those who want to benefit from financial awareness).

The Reverse mortgage, otherwise known as HECM (home equity conversion mortgage), is a widely misunderstood mortgage product that has many life changing benefits. Reverse mortgages are not scams or only for those that are destitute, but a versatile financial tool to keep in your arsenal. To qualify as of April 2015 you will need to be 62 years of age, and demonstrate the ability to pay real estate taxes and insurance.  The loan amount one can borrow is determined by age and location of the property. In general traditional reverse mortgages or Home Equity Conversion Loans (HECMs), currently have legislated maximum available loan proceeds of $469,125, but there are proprietary reverse products that go up to $2,250,000 (not available in all states). As in any financial decision, there should always be a clear financial benefit and analyses before making a decision to move forward.

As always, speak to your trusted financial advisors when deciding the best financial direction to take.

Carl Guzman, NMLS# 65291, CPA, is the founder and President of Greenback Capital Mortgage Corp. He is a residential financing expert and a deal maker with over 25 years’ experience. Carl and his team will help you get the best mortgage financing for your situation and his advice will save you thousands! www.greenbackcapital.com  [email protected]

By Carl Guzman