Assisted Living Facilities
Nursing Homes
Home Care Agencies
Reverse mortgages were originally designed
as a tool for allowing aging, low-income homeowners
to keep their homes by providing a
source of additional monthly income to meet
expenses. Many insurance companies market
reverse mortgages to seniors to use the equity
they have in their home to help pay for LTC
at home. The idea is that most people would
rather stay in their home and receive home
care instead of being institutionalized for their
LTC needs.
A reverse mortgage can help turn the equity
from your home into cash you need, and unlike
a home equity loan, you don’t have to pay back
the money as long as you remain in your home.
How They Work
Reverse mortgages are not repaid until the
last living borrower dies, sells the home or permanently
moves away, at which point the loan,
including interest and other fees, becomes due.
Because you make no monthly payments, the
amount owed grows larger over time, while the
amount of cash left after selling and paying off
the loan generally grows smaller. But you can
never owe more than your home’s value at the
time the loan is repaid. Since reverse mortgage
borrowers continue to own their homes, they
must pay for property taxes, insurance and
repairs. If they don’t, the full loan may become
due.
Who Is Eligible?
Borrowers must usually be at least 62 years
old and list the home as a principal residence.
All owners of the home, whether they are
residents or family members, must sign the
loan papers.
VETERANS
Assisted Living Facilities
Nursing Homes
Home Care Agencies
• Veterans DO pay for the above types of
care if you meet certain criteria
All Veterans enrolled in VA’s health
care system are eligible for home and community
based long-term care services. A series of
clinical indicators and conditions help VA staff
identify the need for these services. Specific
eligibility and admission criteria are unique to
each venue of nursing home care: Under the
Millennium Health Care Act, 1999, VA must
pay for nursing home care for Veterans who
require nursing home care and meet the following
criteria:
• A Veteran who has a service-connected disability
rating of 70 percent or more
• A Veteran who needs nursing home care for a
service connected disability
• A Veteran who is rated 60 percent serviceconnected
and is either unemployable or
has an official rating of “permanent and total
disabled”
• Non-service connected Veterans and those
officially referred to as “zero percent, noncompensable,
service connected”
• Veterans who require nursing home care for
any non-service connected disability and who
meet income and asset criteria are eligible for
VA CLC care on a resource available basis
MORE INFO
ONLINE:
POLKELDERCARE.COM
More on Paying for Long Term Care:
• Learn the Legal and Financial Issues of LTC
• Is a Reverse Mortgage Right for You?
• Special Florida Program for LTC Insurance
www.PolkElderCare.com 77