After retirement, we all dream of a financially prosperous future. However, many times due to a lack of proper financial planning, most of us are not able to accumulate a substantial amount of funds at the time of retirement. There is no source of income at this stage of age. In such a situation, the person is forced to depend financially on his son or other family members. Many times such a situation is created for the elderly that there is no one to take care of them and there is no source of income left. In such difficult circumstances, it becomes very difficult for the elderly to live. In this episode, today we are going to tell you about a wonderful scheme. The name of this scheme is Reverse Mortgage Loan. Under this scheme, an elderly person can make his house a source of income. The special thing about this scheme is that in this the elderly will not even have to vacate their house.
What is a reverse mortgage?
A reverse mortgage is the opposite of a home loan. On one hand, on taking a home loan, you have to pay installments to the bank every month. On the other hand, under a reverse mortgage loan, you have to mortgage your house with the bank.
After this, a fixed amount is received every month. The payment received is also called reverse EMI. The special thing about reverse mortgages is that after mortgaging the house with the bank, the person does not even need to vacate the house and go to some other place.
However, this facility can be availed only by senior citizens above 60 years of age. The liability of a reverse mortgage loan arises only when the person wants to sell the house on it.
There is no income tax or capital gains tax on the amount received on a reverse mortgage. If you also want to earn without depending on any other person. In such a situation, this option can prove to be a good option for you.
(PC: Freepik)
