In the last 10 years, Mortgage South has helped more than 600 seniors across the state with their financial needs through their SeniorAdvantage, Reverse Mortgage program, and now they have decided to extend their reach to surrounding states, including Georgia, Alabama, Mississippi and Florida, officials said.
The Chattanooga firm was the first company to offer the reverse mortgage product in Tennessee and continues to be the leader in this program today, it was stated.
“When the reverse mortgage product came into being nationally 15 years ago, I recognized the impact it could have on seniors lives by offering a new source for financial security so I set out to bring this product to Tennessee,” said Don Oakes, CEO of Mortgage South. “10 years later, we continue to serve Tennessee and have recently expanded our reach to serve seniors living in Georgia, Alabama, Mississippi and Florida.”
Kathy Richmond, Mortgage South’s Reverse Mortgage Specialist and Certified Senior Advisor, was the first loan officer in Tennessee to do a reverse mortgage in 1994 and has since closed over 600 to date. Ms. Richmond said it is often difficult for her customers to leave their homes even to go down the street so she offers them the option to meet at their homes and will arrange to have the actual closings there as well.
In addition, Mortgage South provides either a local or 800 phone number so no long distance calls have to be made.
How the SeniorAdvantage Reverse Mortgage Works
Think of it as an advance on the equity a homeowner has built in a home. The equity in the home works as collateral, and the homeowner may receive a monthly payment, lump sum, line of credit or any combination of the above. They make no payments as long as they live in the home, the income is tax-free, and they retain title to their home. The homeowner must be 62 or older and their home must be their principal residence with only little or no balance remaining. The balance of their reverse mortgage is due when they sell the home or move away. The homeowner will never owe more than the market value of their home when it’s sold. FHA mortgage insurance will pay the difference if the reverse mortgage balance is more than the value of the home.