Question 1

Can I lose my Grover Beach home with a reverse mortgage?

Accepted Answer

You keep ownership and can stay as long as you maintain the property, pay taxes and insurance, and live there as your primary residence. The loan comes due when you move out permanently or pass away.

Question 2

How much can I borrow with a Grover Beach reverse mortgage?

Accepted Answer

The amount depends on your age, home value, and current rates. Older borrowers with more valuable homes qualify for larger amounts, typically 40-60% of home value.

Question 3

Do my heirs inherit debt with a reverse mortgage?

Accepted Answer

Your heirs can pay off the loan and keep the home, or sell it to repay the balance. They're not personally liable for amounts exceeding the home's value with HECM loans.

Question 4

What happens if I need to move to assisted living?

Accepted Answer

The reverse mortgage becomes due if you leave your Grover Beach home for more than 12 consecutive months. The home would need to be sold or the loan repaid at that point.

Question 5

Are reverse mortgage proceeds taxable income?

Accepted Answer

No, the funds you receive are loan proceeds, not income, so they're not taxable. They also don't affect Social Security or Medicare benefits in most cases.

Reverse Mortgages in Grover Beach: Access Your Home Equity While You Stay Put