How do I qualify for a reverse mortgage?

How do I qualify for a reverse mortgage?

Home Equity:

for more details visit:

http://www.beingarealtor.com



Home Equity Convention Mortgage is a government institution which helps you to utilize the value of your home and convert it into cash, but it depends on you that how much you want to convert.



Advantage:

Many senior homeowners have taken advantage from this technique since its inception in 1961.



Eligibility of Reverse Mortgage depends on:

General requirements which contains age 62+, is a homeowner and some others

Home qualifications which contains HUD and FHA rule

Financial Qualifications which contains homeowner income and debt



General Requirements:

Age must be 62 years or above. As this loan is available to individuals in retirement age because reverse mortgage was designed to help seniors age in their homes.



You must have your own home:

You must be an owner of home or low enough remaining mortgage balance for the reverse mortgage loan to pay it off.



Your home must be your main residence:

As this loan was designed to help seniors stay at home, so borrowers must stay in his home and cannot live any other place for more than 12 consecutive months.



You must complete a counseling session with a HUD:

With the help of this session you are aware of all your options and can evenly weigh the pros and cons of each.



Home qualification:

Contains 4 major points:



  1. Must be a single family home
  2. 4 unit maximum multiple family home
  3. 1 unit occupied by you
  4. Your home must be manufactured home as long as it meets FHA requirements




Financial qualification:

Pay your property taxes, home maintenance, insurance and any applicable HOA fees:

Keep in mind it is your responsibility to pay all expenses related to house.



Other expenses:

Like property taxes, home maintenance, insurance and any applicable HOA fees because you are living in the home right now. Otherwise you may be at risk of defaulting on the loan.



For More information about Mortgage, Reverse Mortgage and other lender’s issues please visit;

 www.beingarealtor.com



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