Janet C. Papiernik
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, including a home that was in a reverse mortgage. Upon Henry’s death, the loan on the home went into default. “…what would happen to the home”, asked Chrissy, Henry’s daughter and executor 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.