A retired Florida man says he believed he was safe in his home until he learned about a reverse mortgage several years ago.
Now, a Volusia County senior faces losing his home due to a federal foreclosure lawsuit.
“Am I going to survive this? I don’t know,” Bill Tavernier told WFTV Channel 9 in a story that aired Feb. 25. “My dog and I are going to be homeless. That’s what I’m looking at.”
According to the publisher, Tavernier moved into his mother’s home nearly 20 years ago to help take care of her. He joined Sindh in 2007. After she died in 2013, he continued to live there believing he owned the property outright, as his mother had paid off the original mortgage long ago.
But what she didn’t know, Channel 9 reports, was that she had taken out a mortgage back in 2001, and last year she was seeking to collect about $190,000 in principal, interest and fees from the Department of Housing and Urban Development (HUD). Tavernier relies primarily on Social Security income, and does not have the funds to pay the balance.
His story illustrates how important it is for families to talk about finances, and how misunderstandings — especially when it comes to passing on assets — can result in serious financial pain.
Reverse mortgages allow older homeowners to borrow against their home equity, often without making monthly payments. With these loans, repayment usually occurs when the borrower dies or sells the home. The most common reverse mortgage is a federally insured home equity exchange mortgage.
In Tavernier’s case, his mother owed about $70,000 per Channel 9. After her death, the balance remained, although he remained at home. But Tavernier says there was no letter from the lender, and he claims his mother never mentioned the debt to him.
“That generation … you didn’t discuss it with your kids at all,” he said.
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So, how can you not receive a debt notice until 2025? Orlando real estate attorney Barry Miller told Channel 9 he suspects HUD may not have known Tavernier’s mother had died until the home was put on the market last year. Now, it sounds in debt.
