Age - William 77, Betty 75 ( reverse mortgages are calculated using the youngest owners age )

Home value - $375,000.

Equity - $375,000.

Problem - How to supplement monthly income to help pay for medical and medication expenses.

Solution - A reverse mortgage will provide $222,307. tax free* in one lump sum or credit line or $1545. per month.

Reverse Mortgages CASE STUDY #2
Client Profile - Charles and Judy Pleasant

Age - Charles and Judy are both 68

Home value - $165,000.

Equity - $165,000.

Problem - They would like to travel in their motor home but lack the extra income needed to pay the added expenses of travel.

Solution - A reverse mortgage of $83,934. will give them $533 per month of extra tax free* income.

Reverse Mortgages CASE STUDY #3
Client profile - Mary S. Citizen.

Age - 72

Home value - $250,000.

Equity - $210,000. with a mortgage balance of approx. $40,000.

Problem - Mary lives alone and wants to stay in her home but is having difficulty meeting expenses. Her mortgage payment is $611. per month. With her Social Security income and pension she is still short $187. per month.

Solution - A tax free* reverse mortgage for $142,496. Taking a lump sum of $40,000. to pay off her existing mortgage and the balance in monthly payments of $681. After paying off the mortgage, Mary's monthly income rises to $1291. ($611. mtg. paym't plus $681 from the reverse mortgage).

Reverse Mortgages CASE STUDY #4
Client Profile - John and Joanne Smiles

Age - John is 82 and Joanne is 80

Home value - $850,000.

Equity - $850,000.

Problem - Their income is sufficient to live as planned but they would like to assist with the college tuition for their two grandchildren.

Solution - A reverse mortgage credit line of up to $403,698. Then each grandparent can gift, each year, to each grandchild, the amount currently allowed by law*. Income from a reverse mortgage is currently tax free*.

* Please check with your accountant to verify current tax laws.

Note: Reverse Mortgage proceeds are based upon the current interest rates at the time the loan closes, age of the youngest borrower and equity in the home. The above examples are based upon the rates on 8/21/2007.

** NOTE: BORROWERS CAN LOCK IN THE PRINCIPAL LIMIT ON HECM LOANS FOR 120 DAYS FROM THE DATE OF APPLICATION TO THE CLOSING, ENSURING THAT THEY WILL NOT GET LESS THAN THAT AMOUNT. ALL RATES ADJUST WEEKLY ON TUESDAYS AND THE RATE FOR CLOSING IS DETERMINED BY THE WEEKLY RATE SET ON TUESDAYS OF EACH WEEK (EXCEPT FOR FEDERAL HOLIDAYS) AND ARE VALID THROUGH THE FOLLOWING MONDAY.