Mortgage Concepts, LLC has closed another low fixed rate Reverse Mortgage in Scottsdale, Arizona. The borrower is age 65 and he received 172, 000 with no monthly mortgage payments. The borrower will no longer be forced to make a monthly payment but has the option to make one, if he so chooses. The interest rate is a low 5.5% and it is fixed for life. Because this is a reverse mortgage, the term is for the life of the borrower, not the life of the loan.

I have heard some comments about making monthly payments on a reverse mortgage. While they are not required and in some way defeat the purpose of the loan, the loan is simple interest, like any other mortgage and by making periodic payments, the loan balance will be reduced.

If you are age 62 or older and considering a traditional mortgage with monthly payments that requires the traditional credit and income qualifications, consider looking at the benefits of a reverse mortgage. If you qualify for a reverse mortgage, you can borrow the money without being forced to make a monthly payment, therefore, the lender will never threaten to foreclose for non payment.