If you’re considering a reverse mortgage, it’s only natural to wonder about the advantages and disadvantages. This is a subject that you should take the time to learn about if you are considering getting one in the great state of Missouri.
A reverse mortgage is a unique type of home loan where you no longer make payments to the lender and can draw money out of the equity in your home. For many people, this loan can be a bit difficult to understand, so it’s only natural to have questions. We’ll lay out the advantages and disadvantages and let you decide.
Want to learn more? Click here to get free information about a reverse mortgage in Missouri!
Advantages of A MO Reverse Mortgage
As mentioned above, you don’t have to make any payments to the mortgage company ever again. Whether your home is paid off, or you are still making a monthly payment, the idea of never having to worry about a monthly payment might seem like a dream come true. Well, with a reverse mortgage that’s exactly what it can be.
You get access to the equity in your home that you have spent years building up. You can use this equity for anything you want. You can pay bills, travel, make home improvements etc. The point here is that this is your money and you can do whatever you want to with it.
You get to live your retirement the way that you deserve to live it. With no monthly mortgage to worry about, and a large amount of equity to draw from, you can afford to go on that dream vacation you have been putting off for years. Or, you can drive across the country. Or, do just about anything else you feel like doing.
In addition to financial advantages, you get to stay in your home for as long as you want and will never be pressured into leaving. There’s never a date given when you have to either sell your home or pay back the loan unless you stop living in the Missouri home as your primary residence. You live there as long as you want to, and when you are ready or have to move elsewhere you leave.
Disadvantages of A Reverse Mortgage in Missouri
When the time comes for you to leave the home you will have to pay back the money that you owe. That could mean selling the home to pay off the loan amount.
When you pass away your heirs will be responsible for paying off the money on the reverse mortgage. They can either pay the amount themselves, or they can sell the home and use the proceeds to cover the loan. That means that a reverse mortgage can cut into any inheritance that you leave them. However, you can limit this by simply not drawing out a lot of the money in your home’s equity. Simply having access to the money, while not having to worry about monthly payments, will give you a greater sense of financial security. The point here is that you’ll have the money if you need it, which is the main benefit of a MO reverse mortgage.
Click here to get a free reverse mortgage information kit.
The Biggest Missorui Reverse Lenders
| Lender | Loans | Total Principal Limit |
| AMERICAN ADVISORS GROUP | 1,745 | 327,910,530 |
| WELLS FARGO | 1,538 | 216,515,722 |
| FINANCE OF AMERICA REVERSE LLC | 1,307 | 203,116,525 |
| JAMES B NUTTER AND COMPANY | 986 | 134,677,467 |
| FINANCIAL FREEDOM SENIOR FUNDING CORP | 955 | 125,056,754 |
| ONE REVERSE MORTGAGE LLC | 841 | 122,140,035 |
| GERSHMAN INVESTMENT CORP | 760 | 149,976,995 |
| FRONTIER FINANCIAL INC | 554 | 79,835,440 |
| METLIFE BANK NATIONAL ASSOCIATION | 394 | 67,381,055 |
| GATEWAY REVERSE MORTGAGE GROUP LLC | 350 | 40,032,400 |
| BANK OF AMERICA | 245 | 39,863,550 |
| DAS ACQUISITION CO LLC | 226 | 43,286,110 |
| LIBERTY HOME EQUITY SOLUTIONS INC | 207 | 32,062,597 |
| GENWORTH FINANCIAL HM EQUITY ACCESS INC | 193 | 28,230,817 |
| MUTUAL OF OMAHA MORTGAGE INC. | 191 | 52,479,454 |
| GRIFFIN FINANCIAL MORTGAGE LLC | 155 | 17,584,390 |
| MIDWEST MORTGAGE CAPITAL LLC | 146 | 24,820,750 |
| 1ST AAA REVERSE MORTGAGE INC | 131 | 16,105,910 |
| PROFICIO MORTGAGE VENTURES LLC | 125 | 21,744,420 |
| FAIRWAY INDEPENDENT MORTGAGE CORPORATION | 121 | 35,425,495 |
Since 2012
| Lender | Loans | Total Principal Limit |
| AMERICAN ADVISORS GROUP | 1,643 | 313,868,283 |
| ONE REVERSE MORTGAGE LLC | 491 | 75,161,070 |
| FINANCE OF AMERICA REVERSE LLC | 339 | 80,650,275 |
| GERSHMAN INVESTMENT CORP | 278 | 64,310,345 |
| MUTUAL OF OMAHA MORTGAGE INC. | 191 | 52,479,454 |
| LIBERTY HOME EQUITY SOLUTIONS INC | 188 | 29,134,697 |
| JAMES B NUTTER AND COMPANY | 158 | 31,050,500 |
| PROFICIO MORTGAGE VENTURES LLC | 117 | 20,621,420 |
| FAIRWAY INDEPENDENT MORTGAGE CORPORATION | 116 | 34,579,745 |
| LONGBRIDGE FINANCIAL LLC | 101 | 25,289,549 |
MO Reverse Mortgage Rates
Current Rates
| Date | Fixed Rate | Adjustable Rate |
| 2019-01-01 | NA | 5.29% |
| 2019-02-01 | 4.68% | 5.14% |
| 2019-03-01 | 5.18% | 5.05% |
| 2019-04-01 | 5.06% | 4.90% |
| 2019-05-01 | 4.81% | 4.70% |
| 2019-06-01 | NA | 4.56% |
| 2019-07-01 | 4.50% | 4.80% |
| 2019-08-01 | NA | 4.51% |
| 2019-09-01 | NA | 4.83% |
| 2019-10-01 | NA | 4.78% |
| 2019-11-01 | NA | 4.59% |
| 2019-12-01 | NA | 4.50% |
| 2020-01-01 | NA | 4.28% |
| 2020-02-01 | NA | 4.14% |
| 2020-03-01 | NA | 3.99% |
| 2020-04-01 | NA | 3.90% |
| 2020-05-01 | 4.56% | 3.80% |
| 2020-06-01 | 3.63% | 3.48% |
| 2020-07-01 | NA | 3.62% |
| 2020-08-01 | 4.18% | 3.17% |
| 2020-09-01 | NA | 2.96% |
| 2020-10-01 | 3.06% | 3.14% |
| 2020-11-01 | NA | 3.10% |
| 2020-12-01 | NA | 3.02% |
| 2021-01-01 | NA | 3.02% |
| 2021-02-01 | 3.06% | 2.86% |
| 2021-03-01 | 3.31% | 2.84% |
| 2021-04-01 | 3.56% | 2.68% |
| 2021-05-01 | NA | 2.39% |
| 2021-06-01 | 3.06% | 2.22% |
| 2021-07-01 | NA | 2.35% |
| 2021-08-01 | NA | 2.37% |
| 2021-09-01 | NA | 2.46% |
| 2021-10-01 | 3.75% | 2.34% |
| 2021-11-01 | 3.18% | 2.51% |
| 2021-12-01 | NA | 2.45% |
| 2022-01-01 | NA | 2.64% |
| 2022-02-01 | NA | 2.74% |
| 2022-03-01 | 3.74% | 3.01% |
| 2022-05-01 | 3.56% | 3.96% |
| 2022-04-01 | 3.56% | 3.18% |
| 2022-06-01 | NA | 4.27% |
| 2022-07-01 | 5.31% | 4.97% |
| 2022-08-01 | NA | 5.34% |
| 2022-09-01 | 5.31% | 5.50% |
| 2022-10-01 | NA | 6.39% |
| 2022-11-01 | NA | 6.64% |
| 2022-12-01 | 6.56% | 7.27% |
| 2023-01-01 | NA | 7.29% |
| 2023-02-01 | NA | 7.27% |
| 2023-03-01 | NA | 7.42% |
| 2023-04-01 | NA | 7.16% |
| 2023-05-01 | NA | 6.82% |
| 2023-06-01 | NA | 7.30% |
| 2023-07-01 | NA | 7.77% |
| 2023-08-01 | NA | 7.64% |
| 2023-09-01 | NA | 7.56% |
| 2023-10-01 | NA | 7.71% |
| 2023-11-01 | NA | 7.84% |
| 2023-12-01 | NA | 7.60% |
| 2024-01-01 | NA | 7.62% |
| 2024-02-01 | NA | 7.33% |
| 2024-03-01 | NA | 7.31% |
| 2024-04-01 | NA | 7.49% |
| 2024-05-01 | NA | 7.51% |
| 2024-06-01 | NA | 7.62% |
| 2024-07-01 | NA | 7.58% |
Historic Rates
| Date | Fixed Rate | Adjustable Rate |
| 2016-01-01 | 5.04% | 3.46% |
| 2016-02-01 | 5.00% | 3.65% |
| 2016-03-01 | 5.06% | 3.68% |
| 2016-04-01 | 5.06% | 3.95% |
| 2016-05-01 | NA | 4.10% |
| 2016-06-01 | 5.06% | 4.04% |
| 2016-07-01 | 5.06% | 3.91% |
| 2016-08-01 | 5.06% | 4.21% |
| 2016-09-01 | NA | 4.31% |
| 2016-10-01 | 5.01% | 4.30% |
| 2016-11-01 | 5.06% | 4.46% |
| 2016-12-01 | 4.98% | 4.69% |
| 2017-01-01 | 4.85% | 4.77% |
| 2017-02-01 | 5.06% | 4.65% |
| 2017-03-01 | 5.06% | 4.52% |
| 2017-04-01 | 5.05% | 4.39% |
| 2017-05-01 | NA | 4.43% |
| 2017-06-01 | 4.85% | 4.40% |
| 2017-07-01 | 5.01% | 4.43% |
| 2017-08-01 | 5.06% | 4.49% |
| 2017-09-01 | 4.87% | 4.49% |
| 2017-10-01 | 4.69% | 4.49% |
| 2017-11-01 | 5.04% | 4.60% |
| 2017-12-01 | 5.05% | 4.59% |
| 2018-01-01 | 5.06% | 4.61% |
| 2018-02-01 | 5.02% | 4.58% |
| 2018-03-01 | 4.89% | 4.66% |
| 2018-04-01 | 4.50% | 4.78% |
| 2018-05-01 | 4.62% | 4.74% |
| 2018-06-01 | 4.43% | 4.87% |
| 2018-07-01 | 4.81% | 4.63% |
| 2018-08-01 | NA | 4.80% |
| 2018-09-01 | 4.62% | 4.72% |
| 2018-10-01 | 4.68% | 4.98% |
| 2018-11-01 | 4.56% | 4.97% |
| 2018-12-01 | NA | 5.02% |
Top Cities in Missouri by Total HECM Loans Originated
| Rank | City | Zip | Total |
| 1 | SAINT LOUIS | 63130 | 215 |
| 2 | SAINT LOUIS | 63123 | 208 |
| 3 | SAINT LOUIS | 63136 | 207 |
| 4 | SAINT PETERS | 63376 | 204 |
| 5 | FLORISSANT | 63033 | 173 |
| 6 | SAINT LOUIS | 63115 | 171 |
| 7 | INDEPENDENCE | 64055 | 168 |
| 8 | SAINT LOUIS | 63121 | 167 |
| 9 | SPRINGFIELD | 65807 | 145 |
| 10 | FLORISSANT | 63031 | 144 |
| 11 | KANSAS CITY | 64114 | 142 |
| 12 | SAINT LOUIS | 63122 | 130 |
| 13 | BALLWIN | 63021 | 129 |
| 14 | SPRINGFIELD | 65804 | 129 |
| 15 | SAINT LOUIS | 63146 | 129 |
| 16 | SAINT CHARLES | 63303 | 129 |
| 17 | KANSAS CITY | 64130 | 128 |
| 18 | CHESTERFIELD | 63017 | 128 |
| 19 | JOPLIN | 64804 | 126 |
| 20 | SAINT LOUIS | 63125 | 126 |
| 21 | SAINT LOUIS | 63129 | 118 |
| 22 | INDEPENDENCE | 64052 | 114 |
| 23 | SAINT LOUIS | 63112 | 112 |
| 24 | SAINT CHARLES | 63301 | 112 |
| 25 | SAINT LOUIS | 63116 | 106 |
| 26 | BALLWIN | 63011 | 104 |
| 27 | SAINT LOUIS | 63119 | 104 |
| 28 | SAINT LOUIS | 63114 | 104 |
| 29 | KANSAS CITY | 64131 | 102 |
| 30 | ARNOLD | 63010 | 100 |
Want to learn more? Click here to get free information about a reverse mortgage in Missouri!
HECM Housing Counselors
HOUSING OPTIONS PROVIDED FOR THE ELDERLY HOPE – NCOA HECM
4265 SHAW BLVD
SAINT LOUIS, MO 63110-3526
(314) 776-0155
HOUSING OPTIONS PROVIDED FOR THE ELDERLY
7300 DARTMOUTH AVE STE 100
UNIVERSITY CITY, MO 63130-2904
(314) 776-0155
http://HECMHOPE.org
CREDIT & HOMEOWNERSHIP EMPOWERMENT SERVICES, INC.
3125 GILLHAM PLAZA
KANSAS CITY, MO 64109-1711
(816) 533-7417
www.chesinc.org
CATHOLIC CHARITIES OF SOUTHERN MISSOURI
424 E MONASTERY ST
SPRINGFIELD, MO 65807-6099
(417) 720-4213
http://www.ccsomo.org
YOUTH EDUCATION AND HEALTH IN SOULARD
1924 S 12TH ST
SAINT LOUIS, MO 63104-3951
(314) 436-1400
http://yehstl.org
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