Top 10 Reasons for HECM or Reverse for Purchase Mortgage Loans
This material is not provided by, nor was it approved by the Department of Housing & Urban Development (HUD) or by the Federal Housing Administration (FHA).
- The HECM reverse mortgage loan may be utilized by borrowers of various income levels
- You keep title and ownership (as long as the loan conditions are met – Read the 5 important things to know below)
- Integrates with your Retirement Plan
- Relocate closer to family with a HECM for Purchase
- Eliminate your monthly Principal and Interest mortgage loan payments (Does not eliminate property tax, insurance or HOA payments)
- Refinance your current mortgage loan or HELOC (Home Equity Line Of Credit)
- Purchase a single level, more accessible home
- Growth in your irrevocable line of credit (if used)
- No recourse to Owners or Heirs ( if the loan amount exceeds the home’s value, the lender cannot go after the rest of the estate or the heirs’ other assets for payment – You could lose your home to foreclosure if you fail to pay property taxes, homeowners insurance, HOA fees or maintain your home in accordance with the required guidelines)
- Use proceeds for what you want or need
Find out how much you may qualify for by completing the calculator form or call us at
(800) 779-1020
Important Disclosure
(1) the borrower remains responsible for property taxes, hazard insurance and home maintenance, and failure to pay these amounts may result in the loss of the home; and
(2) charges will be assessed with the loan, including an origination fee, closing costs, mortgage insurance premiums and servicing fees;
(3) the loan balance grows over time and interest is charged on the outstanding balance;
(4) at the conclusion of a reverse mortgage, the borrower must repay the loan and may have to sell the home or repay the loan from other proceeds;
(5) interest on a reverse mortgage is not tax-deductible until the borrower makes partial or full re-payment.
5 Important Things To Understand As You Consider A HECM Reverse Mortgage Loan
1
At the conclusion of a reverse mortgage, the borrower must repay the loan and may have to sell the home or repay the loan from other proceeds.
2
Charges will be assessed with the loan, including an origination fee, closing costs, mortgage insurance premiums and servicing fees.
3
The loan balance grows over time and interest is charged on the outstanding balance.
4
The borrower remains responsible for property taxes, hazard insurance and home maintenance, and failure to pay these amounts may result in the loss of the home.
5
Interest on a reverse mortgage is not tax-deductible until the borrower makes partial or full repayment.