Reverse Mortgage as Settlement Tool

Lots of times there are issues where home equity in a divorce needs to be paid out or alimony payments A reverse mortgage can be an effective tool to structure these payments.  A reverse mortgage allows a homeowner to draw the mortgage principal in a lump sum, receive monthly payments over a specified term or over their lifetime as a revolving line of credit, or some combination thereof.  This can be a good option to give divorcing spouses financial security and additional payment options in dealing with a wide scope of financial issues.  This is definitely something to look into in the right circumstances.