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Need it to be in this area. Newton, Sparta, etc..They are living on a fixed income. They had gotten a reverse mortgage. They can not afford the property taxes. They would love to stay in there Home! Trying to find Financial Help, and Housing Help?! DO NOT KNOW WHERE TO START??!! Mom is 80, and Dad 82. Dad still drives, but do not know how much longer? They are pretty mobile. But things are getting tougher for them! I am out of work, and struggling, so can not Help!

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Thank you so very much!
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I have a client who is going through this same thing. Her parents were duped into signing a reverse mortgage. The terms of the mortgage stated that they could get to keep their home unless they did not occupy it. They got a big lump sum when they signed the paperwork and didn't even know that they got it because their son duped them out of it. My client, their daughter is fighting this and her attorney feels she will win. If so it is a landmark case against the shyster banks who make those reverse mortgages because both parents had been ill and were not able to understand what they were signing. Keep digging for information. Another thing, seniors shouldn't be paying a lot of taxes on property. Here where I live, my mother gets a big discount for being elderly and for being blind. Her taxes are only about $800 per year on a 4,000 sq ft home and 3 acres in an affluent neighborhood. This is due to her homestead elderly status.
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Laura, I see two options, one is to declare bankruptcy and work towards staying in their home, the other is to move them to Assisted Living with the help of New Jersey Medicaid. NJ is one of the few states that will fund ALF via Medicaid. So call your county social services to get things started. The New Jersey Medicaid income limit for 2 people is $1261 per month and no more than $6000 in resources. They do subtract the medical expenses against the income so I am thinking they should qualify.
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Laura, I think your latest post is directed toward me. Pam and CentralMass have made good suggestions. I thought I did as well but apparently you interpreted them differently.

I think you're the one who's angry, and apparently misreading my answers. I was trying to find out more about the situation so I could make some suggesetions on helping with the aspect about which I know more, which is the financial abuse. Obviously there's a lot going on with the reverse mortgage situation and I was thinking that the more I knew about it the more tailored my answers could be.

I did not infer your parents' finances were screwed up. My point was more that they were exploited, and that reflects on the reverse mortgage lender, not your parents. These kinds of predators scam a lot of people, regardless of their financial situation.

People do live off SS, and reverse mortgage funding would help. I fail to understand why that concept is so inflammatory.

No one ever mentioned "BS" except you.

However, you did ask specifically about low income housing in a given area, voluntarily providing the additional reverse mortgage information in your original post. Sticking with that original and limited query, you can locate low income housing by Googling the subject, or follow CentralMass' advice.

I am sorry if you're upset. That was not my intention. If you read other posts here, you'll see that posters respond with a broad range of comments and suggestions, which from what I've read helps the poster put the questions and issues in perspective.

Good luck with helping your parents.
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I have power of attorney. I believe they both have a little dementia!? Mom has ad Cancer five times. Has all kinds of Health Issues. COPD, Constantly going to Dr.s. Takes a million meds. So what I am understanding is that they did something to screw there finances up??!! That they should be able to live of there S.S., and the reverse mortgage?? So somewhere something is BS?! Maybe thats why my Father has been so hasten on me Helping out? Starting to make more seance ! GREAT! THANKS EVERYONE FOR YOUR HELP!
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Pam, thanks for that info. I wouldn't be surprised also if they're harrassing Laura's grandparents to get them to move out so they can acquire the property now.

APS is a good suggestion; they can help with a lot of the background investigation.

RLTV has had some exposes of various fraudsters and how they target the elderly.

One of the aspects of this whole reverse mortgage issue that really irritates me is that famous actors (Fred Thompson for one) are hawking for these predatory lendors.
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Garden Artist FYI these lenders will pounce on the property as soon as Mom and Dad move out. If they can't make ends meet on SS and the reverse mortgage payments, something is very wrong with their financial picture. Ask APS to check on them and report any scam to the New Jersey state attorney general's office.
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Laura, just occurred to me to ask: Has there been any diagnosis of dementia of either of your parents? If so, and if it predates the granting of the reverse mortgage, there may be consideration of elder exploitation.

This suggestion will add to your burdens, so put it aside temporarily but do consider it. Your parents may qualify either for (a) legal aid or (b) elder law assistance that might be offered by the state in which they live. Michigan, e.g., has an Elder Law legal aid service by which income eligible seniors can get free legal advice. I've used it; it's excellent.

To locate legal aid clinics in their area, Google "bar association" for the county or state in which they live, contact them or go on their website, and search for legal aid clinics.

In Michigan, one of the local law schools hosts a free legal aid clinic on elder law specific questions.

Local communities also offer limited free legal assistance weekly or biweekly. Local attorneys donate their time and offer limited advice.

They might also have suggestions on dealing with the reverse mortgage, as well as any possibility of taking action against the lender.

You can also Google the name of the lender; I wouldn't be surprised to find complaints against it.

Also: do you have a durable power of attorney for your parents? If not, it might be a good time to consider one.
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Laura, from what I understand of reverse mortgages, they don't require payment until death of the mortgagors (borrowers). At that time the mortgage becomes fully payable. It's then when the lenders can acquire the house unless the heirs pay off the mortgage, which would likely be financially difficult to do.

I'm not aware, but it could be, that your parents actually gave a deed for the house to the lender, or gave them a deed to be held until their deaths.

Call the County Register of Deeds and ask how you can determine what documents have been recorded against your parents' property. You'll need a property ID, what's known as a Sidwell. If you don't have access to property tax statements, contact the County Treasurer's Office, give them the street address and ask for the Sidwell.

Then call the Register of Deeds' office.

I am sorry if I conveyed anger. It wasn't my intent, but I won't deny that I couldn't help thinking that some people really need that Section 8 housing support and that someone who had funding from a reverse mortgage wasn't in that category. Still, you're in a bad situation trying to figure out what happened.

I hope you make some progress in finding out what happened. If you do discover fraud, and it wouldn't surprise me, then contact the police for further advice. You might also have to speak with a county prosecutor if fraud was involved and if they go after the lender.

If you do contact the police, ask them if there's an anti-fraud task force dealing with reverse mortgage fraud.

Good luck.
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I am just learning what this is all about myself? My Parents just got scammed! My Father has invested in Fly By Night Investments!! Has not had a REAL Job, in many many years! I know they do not own there Home any more.I have to really dig to find out what the real story is?! Getting some resistant! I am will figure it out. Have been on the phone and on the computer for two days straight. Have gotten some leads. Thank for your input! And to Garden Artist, you sound a little Angry! It might be because it comes over the computer, but try to be a little more understanding! I have had this laid on my lap! All my Life it has only been me doing for my Parents! My siblings have left to do this on my own! Have a Wonderful Day!!
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If I understand correctly, your parents can't afford to continue paying property taxes, even though they have a reverse mortgage? I don't intend to pry, but you asked for help, and it would help to clarify the situation.

What happened to the proceeds of the reverse mortgage? Can't they pay the property taxes with that? (I've never read the terms of a reverse mortgage but it's my understanding that they may still be able to draw down on the funds if they weren't entire expended - that would be the issue, i.e., whether the mortgage has been fully funded.)

I assume you're aware that it's unlikely they'll ever repay the reverse mortgage and the house will eventually be acquired by that lender.

But why did they get a reverse mortgage in the first place?

Low income housing is that - for people of low income. It's unclear how someone who has a reverse mortgage could be low income - the mortgage isn't income per se, but it is a debt and debts shouldn't be the basis for getting housing assistance.

Guess I'm not clear on all the issues here.
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You might start with the Council on Aging in your town. They may be able to help, but if they can't, they will be able to recommend someone who can. Also, there are Agencies on Aging for larger areas that may be able to refer you to someone who can get you the answers you need. Good luck, hope this gives you a place to start.
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