A reverse mortgage is designed for people over the age of 62 who have equity in their homes and limited income. Therefore, a reverse mortgage could benefit your father.
However, if he is paying interest on the second note of $107k, it may make much more sense to get a loan on his paid off property worth $160k (which is only a 67% loan to value), and use the proceeds to pay off the first note. Then, if he still needs cash out, he can do a reverse mortgage on the townhouse. This will reduce the amount of his capital going to the lender on the $107 property.
Bills.com makes it easy to compare mortgage offers and different loan types. Please visit the loan page and find a loan that meets your needs.
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