A reverse mortgage is a loan against the equity in your home, so yes, this will affect the amount of money your children will receive from your home. But please do keep in mind AAG will never claim more of your estate than the original loan amount, plus the interest and fees that have accrued over the years. AAG will never own your home. When you pass away, you can still leave your estate to your children and they can choose whether to refinance the home or sell it. The can pay off the existing reverse mortgage balance with other available funds, or obtain a traditional mortgage to pay off the balance and not sell the home. If they choose to sell the property, then the remaining amount of equity will be given to them on a tax free basis. As your property is likely to have increased in value over the years, they can choose to spend this capital how they wish. If you have any more questions about how reverse mortgages work, why not order a copy of our free educational DVD. It features Former Senator Fred Thompson and it's available via the link or phone number provided.

Disclaimer: The response above is not intended to be anything other than the educated opinion of the author. It should not be relied upon as financial advice. America Advisors Group recommends speaking directly with an AAG Reverse Mortgage Professional regarding your specific situation and needs. Please call 1 (800) 466-0572 to receive AAG's information pack with a FREE DVD and Brochure featuring Former Senator Fred Thompson.