Ready to Downsize your Portola Hills Home?


Are you ready to downsize but concerned with how you can afford it?  

Has the house become too large and you would love to have a single level?  

Would you like to move to active retirement community and be closer to your kids?  



Good news for our Portola Hills clients, is you have gained some great appreciation of the years and did you know you could use that equity to purchase a home with a Reverse Mortgage.  What a great opportunity to get settled in your forever home!

Buying a home with a reverse mortgage is a unique option available to older homeowners who are 62 years of age or older. A reverse mortgage is a financial product that allows seniors to tap into their home's equity without selling the property or making monthly mortgage payments. Instead, the lender provides the homeowner with funds based on the home's value and the borrower's age, and the loan is repaid when the homeowner no longer lives in the home, typically when they sell the property or pass away.


What is the Value of My Portola Hills Home

Here's how buying a home with a reverse mortgage works:


  • Eligibility: To qualify for a reverse mortgage, the homeowner must be at least 62 years old and own a substantial amount of equity in their home. The home must also serve as their primary residence.
  • Choosing a Home: The borrower identifies a new home they want to purchase and plans to make it their primary residence.
  • Down Payment: When buying a home with a reverse mortgage, the borrower is required to make a down payment. The down payment amount will depend on various factors, including the age of the youngest borrower, the home's appraised value, and current interest rates.
  • Reverse Mortgage Loan: The borrower applies for a reverse mortgage loan to cover the remaining cost of the new home, beyond the down payment. The loan amount is determined based on factors like the appraised value of the new home, the borrower's age, and the current interest rates.
  • Living in the Home: After purchasing the new home with the reverse mortgage, the borrower can live in it just like any other homeowner. They do not need to make monthly mortgage payments but are responsible for property taxes, homeowner's insurance, and maintaining the home.
  • Repayment: The reverse mortgage loan is repaid when the homeowner(s) no longer live in the home. This could happen if they sell the home, move out permanently, or pass away. When the loan becomes due, the homeowner's estate or heirs typically have the option to repay the loan using other funds or by selling the home. If the home's value exceeds the loan balance, the excess equity goes to the homeowner or their heirs.


It's essential to carefully consider the terms and conditions of a reverse mortgage before proceeding. While it can provide financial flexibility to older homeowners, it also comes with costs and implications for one's estate. Seeking advice from a financial advisor or counselor specializing in reverse mortgages is recommended to fully understand the benefits and potential drawbacks of this arrangement. 

Don't hesitate to reach out direct to Realtor Kelly Turbeville to review your goals.  Our objective is to be your Real Estate advisor that simply doesn't just focus on selling your home.  We would love to help connect you with one of our lenders who can help you determine if a Reverse Mortgage is right for you.



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