Can I buy a house using reverse mortgage amount?

POSTED BY subin ON March 7, 2014 7:38 pm COMMENTS (3)

I was thinking whether it is right or not in using the amount received from reverse mortgage for purchasing a new residential property. I am not very sure if this is possible within India. Even goggling about this didn’t help much. Kindly advice.

My thought on this was, if I get the amount to buy a new property, I can avoid going in for a home loan and avoid paying EMI’s at a very early stage. Whereas by acquiring for reverse mortgage, I can pay off the whole property deal and pay back the mortgage loan amount in EMI’s after a period of 10-15 years.

3 replies on this article “Can I buy a house using reverse mortgage amount?”

  1. ashalanshu says:
    March 10, 2014 at 12:14 am

    Dear Subin, please go ahead as it seems you have already calculated your mouth watering profit. Normally I cross questioned a lot in this forum but from your original query and counter reply, it’s already clear to me that within next few years you and your father ‘ll become owners of 10-15 properties using RM. My advance wishes for all your set up.

    Thanks

    Ashal

    Reply
  2. subin says:
    March 9, 2014 at 7:25 pm

    Hi Ashal,

    I would not be eligible. But my dad who is now 60 is eligible. Was thinking to taking the reverse mortgage on his name, which he doesn’t mind. My mom is 55.

    Reply
  3. ashalanshu says:
    March 9, 2014 at 9:13 am

    Dear Subir, Are you eligible for Reverse Mortgage?

    Thanks

    Ashal

    Reply

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