It can be very tempting to take out more money than you need with a loan when you learn that you qualify for a larger amount that you had originally planned. This can sometimes be a good thing, especially if you underestimated the amount of money that you need. However, this is also a way to get yourself into deep financial trouble that you can spend years trying to overcome.
It is always a good idea to borrow responsibly when taking out a reverse mortgage, or any other type of loan for that matter. When you receive your reverse mortgage quote
, it is a good idea to resist the initial urge to borrow more money than you had planned for. Although it may be a temptation to have all of that extra money in your bank account, you will likely regret the decision many years down the road and at that point it will be too late to take the decision back.
Once you have initially resisted the urge to borrow more when you receive your reverse mortgage quote, it may be an option to borrow more down the road. For example, if you find that you under calculated the amount of money that you need, you might be able to borrow more money with your reverse mortgage. This way, you made a responsible decision from the beginning and are still only borrowing the money that you need. You will likely also feel much better about the decision to borrow more money if you know that you really need it.
