A reverse mortgage is a home loan that you do not have to pay back for as long as you live in your home. Instead, your principal balance accrues. Cash-out from a Reverse refinance can be paid to you in one lump sum, as a regular monthly income, or at the intervals and in the amounts you want. The loan and interest are repaid only when you sell your home, permanently move away, or pass on.
The Traditional HECM Reverse mortgage is similar to an FHA loan in that it requires FHA Approval on Condo's, there is an up-front Mortgage Insurance Premium (MIP) and monthly mortgage insurance (MI). However, there are proprietary Reverse mortgage products available that do not require FHA project approval on Condo's and do not have up-front MIP or monthly MI. As a Mortgage Broker, we have access to many different Reverse Lender product options for you to choose from.
What if I am not 62-yrs of age? Don't worry, there are specialty Reverse products that only require borrowers to be 55-yrs and older!
What if I cannot borrower enough and the Principal Limit is short of what I need to pay off an existing mortgage? Don't give up just yet! There is a specialty Reverse product we might be able to offer if you qualify. Instead of eliminating your mortgage payment, you might be able to reduce your mortgage payment in order to get the amount you need, and your loan could potentially automatically convert into a Reverse mortgage after 10-yrs. Please navigate to my Contact page if you would like to learn more. **The calculator on this page is not an accurate representation of what you can borrower, but it will give you a rough idea of how much you might be able to borrower based on your age and property value. If you would like a more accurate proposal, we can provide one within minutes!
If you own a home over the conforming loan limit, Jumbo reverse products are available. Did you know you can do a Reverse mortgage up to $4M?
Some eligible Reverse homeowners have a very low rate 1st lien they would prefer to keep, and would like to access additional equity in their home. This can be accomplished with a Reverse 2nd if you qualify.
Some variable rate Reverse mortgages have a Line of Credit option. You only accumulate interest against your principal balance on the amount you draw. You can have a line of credit available for when you need it to access equity in your home on demand without having to refinance. Most Lines of Credit have a growth feature. Please inquire if you would like to learn more about Reverse Lines of Credit.
Did you know you can purchase a home with a Reverse mortgage? Purchasing with a Reverse mortgage is easy, and it is possible to close a Reverse mortgage purchase inside a regular 30-day escrow.