Reverse Mortgage or Bankruptcy?

: Reese Baker & Associates

  Filed under: bankruptcy, Mortgage

home, foreclosure, court, bankruptcy attorney houston, texas bankruptcy lawyers, attorney, lawyer, attorneys, lawyers, College Station, Bryan, Houston, Texas, TX, lawyers in houston, bankruptcy attorney,There are some individuals who have reached their senior years that still have substantial debt. Now they are retired they do not have the funds coming in to pay down these debts and this has left them in a serious financial situation. The one thing they do have in their favor is that their home is paid off so they are concerned about going bankrupt.

Instead, they may be considering looking at a reverse mortgage to generate the funds to deal with the bills they are not able to pay. Although this may be an option, a reverse mortgage may not be as straight forward as it seems. It can be complex and it can have some serious repercussions to it. If it is not paid back then the accruing interest can eliminate any of the equity that is left. Individuals that are in a bad financial situation no matter what their age should seek out the opinion of a qualified bankruptcy attorney before making any type of move to deal with the debt such as this. Bankruptcy may be a better form of debt relief depending on the circumstances of the individual.

Of course the big concern is losing the home in the bankruptcy but there are exemptions that can be utilized in this course of action, and chances are the home will be one of these exemptions. If you have already obtained a reverse mortgage and are still in grave financial difficulties then once again you may need to consider bankruptcy and you will still need proper professional assistance.