* When the loan is over, the homeowner(s) or their heirs must pay back the loan amount plus interest. The homeowner must still pay the property taxes, insurance, and make repairs.
* The money obtained can be used to pay the various financing fees on the same loan. The amount may depend on the age of the homeowner, the home's value or the interest rate and closing costs.
* Before you apply for this mortgage, you must pay off any old debt on the property or use the money got from the mortgage to pay off the debt.
* The debt owed includes the loan advances and interest on the loan. Also, the homeowner cannot owe more than what the home is worth at the time the mortgage loan is repaid.
* A homeowner has three days to reconsider his decision of taking out the mortgage loan after the closing. If the homeowner decides he does not want the loan, he can cancel it.
