I am wondering how can I set up reverse mortgage?
We haven’t implemented reverse mortgages per-se as these are contracts with many bells and whistles, too many questions to ask.
However we allow you to enter LOANS linked to properties and we allow you to modify the payments. For a reverse mortgage I’ll assume the payment is 0, the interest is all added to principal.
If you enter it as an amortizing term loan, modifying the payments to 0, you’ll get an error that the loan can’t be amortized.
However you can approximate it with a HELOC interest-only Loan. We also allow you to modify the loan to not make payments on it.
Enter the reverse mortgage as a HELOC loan, make sure to link the REAL ESTATE property where it asks "Select the collateral Property if mortgage loan,“
You need to enter the interest rate charged, be careful to enter it as the rate above prime (enter a negative rate if below prime).
Then click on Modify payments at the bottom.
I’ve added the possibility of not making payments altogether if you enter -1 as the new payment amount (otherwise it’s the amount to add to principal repayments).
Setting -1 will tell the TIME MACHINE to add the interest to the principal.
You can set the From date to whenever the loan started (or will start), and leave the To date blank.
The Time Machine will repay the loan when the property is sold or at death.
You can add as many loans this way as you like, each for the amount borrowed at the time it was or will be borrowed.