I'm a reverse mortgage specialist with Town and Country Mortgage Lenders and was recently hosting a booth at a local Senior Health Fair. While I had good conversations with many seniors about reverse mortgages, I frequently heard comments like: "Oh, I would never do something like that now, with everything going on", or "I don't want to risk my home to foreclosure in today's market". It took me a while, but I finally realized many seniors are so worried about the mortgage crisis in the forward end of the business, they won't even consider something that could offer a solution to their own financial problem. No wonder, every day there is another news story about a bank in trouble or the posting of more foreclosures in our area.

Even in this difficult environment, seniors on the Treasure Coast should know reverse mortgages are perfectly safe. Here are three reasons why:

#1. The very nature of a reverse mortgage is you borrow money and don't have to make any payments. Because you make no payments, you can't get behind.

#2. Reverse mortgage lenders are different. With a few exceptions, most reverse mortgage lenders were not in the risky sub-prime business that has put many banks in jeopardy.

#3. This is the most important safeguard. The reverse mortgage is insured by the Federal Housing Administration (FHA), a part of the US Department of Housing and Urban Development (HUD). The FHA insures the borrower from ever owing more than the home is worth, but they also guarantee you will be protected, no matter what happens to the lender you received your reverse mortgage from.

It's understandable why some seniors are skeptical during these challenging economic times. Many have not considered this widely accepted product, while a lot of seniors are doing reverse mortgages to keep the bank from taking their home. With an FHA insured reverse mortgage, your home is virtually foreclosure proof and you are SAFE in the home you love for as long as you choose to remain there.

Kevin Sargent