I am being courted by at least two companies offering a reverse mortgage credit line that will grow at the rate of the loan if I don't use it.
The amount available that I can borrow on my home equity could double in ten years regardless of the property value and status of the funding institution as it is government insured through FHA.
To optimize this arrangement I would have to pay the loan origination fee, closing costs, and FHA insurance up front.
Does anyone have experience with this loan or have any insights as to wether this is even close to a sound plan for the future?
I'm a single homeowner, no kids, no debt, and I can afford the 17k upfront costs to set up a 190k credit line that will be worth a about a 400k credit line in 10 years.
This is if I don't use any of the money during this 10 year period.