Henry’s Reverse Mortgage Becomes His Daughter’s Financial Nightmare

Abstract

Henry, at 91-years-old, had just been diagnosed with stage IV lung cancer, and given three to six months to live. Henry’s assets were placed in a trust and the estate seemed to be in perfect order, except for one last item. The home was in a reverse mortgage. Upon Henry’s death, “…what would happen to the home”, asked Chrissy, Henry’s daughter and executrix of his estate? “Well, that’s simple” Henry responded, “…you just throw the bank the keys to the house, and walk away”. Ninety days later, after Henry’s passing, Chrissy discovered that this was not the case at all.