Sentences with phrase «borrower on the reverse mortgage»

When the last borrower on the reverse mortgage dies, sells or otherwise conveys the property title to someone else or doesn't reside in the property for 12 months, the reverse mortgage becomes «due and payable.»

When the last surviving borrower on the reverse mortgage meets one of the qualifying events for repayment, the loan will become due.

A problem can arise, however, if one spouse is not listed as a borrower on the reverse mortgage.

Any borrower on a reverse mortgage must be at least 62 years old.

A Non-Borrowing Spouse is a spouse or partner who is not a Borrower on the reverse mortgage contract.

Not exact matches

A Home Equity Conversion Mortgage, also known as the HECM reverse mortgage, is a loan that functions as a federally - insured cash advance on a borrower's home equity, and, while there are other maturity events as well, it is repaid when the last borrower or eligible non-borrowing spouse leaves tMortgage, also known as the HECM reverse mortgage, is a loan that functions as a federally - insured cash advance on a borrower's home equity, and, while there are other maturity events as well, it is repaid when the last borrower or eligible non-borrowing spouse leaves tmortgage, is a loan that functions as a federally - insured cash advance on a borrower's home equity, and, while there are other maturity events as well, it is repaid when the last borrower or eligible non-borrowing spouse leaves the home.

In a recent Wall Street Journal article, Pfau indicated that a sound investment strategy includes taking out a reverse mortgage line of credit and relying on it only during periods when the value of the borrower's stock portfolio is declining.

Lenders first use reverse mortgage loan proceeds to pay off existing mortgages and liens on the property, after which borrowers may use the rest of the funds in almost any way they wish.

To be eligible for a reverse mortgage loan, the FHA requires the youngest borrower on title to be 62 years or older.

FHA - insured reverse mortgages are limited to $ 679,650, with actual amounts based on the borrower's age and current interest rates.

Although borrowers don't make payments on reverse mortgages, they can be foreclosed on if they don't honor the terms and conditions of their reverse mortgage.

While you may want to list just the oldest member of the household as the borrower on the loan, the funds from a reverse mortgage are available only to the borrower.

Selling additional financial products with a reverse mortgage: Reverse mortgages allow borrowers to draw out lump sums of cash, or to draw on their home equity as reverse mortgage: Reverse mortgages allow borrowers to draw out lump sums of cash, or to draw on their home equity as Reverse mortgages allow borrowers to draw out lump sums of cash, or to draw on their home equity as needed.

With AAG Advantage, qualified borrowers may now obtain a reverse mortgage on properties valued at up to $ 6 million, versus the FHA loan limit of $ 679,650 (updated January 1, 2018) associated with a traditional Home Equity Conversion Mortgage (HECmortgage on properties valued at up to $ 6 million, versus the FHA loan limit of $ 679,650 (updated January 1, 2018) associated with a traditional Home Equity Conversion Mortgage (HECMortgage (HECM) loan.

This means that borrowers who do not need to borrow the full amount that can be had on the Standard Reverse Mortgage product can opt for the Saver program and the UFMIP is reduced drastically from 2 % of the property value to 0.01 % of the property value and often times the Lender will credit this cost to you effectively making your cost of UFMIP zero.

While gains in short - term rates have a minimal effect on the amount of loan proceeds reverse mortgage borrowers may be eligible to receive, hikes in longer - term rates can significantly reduce their borrowing power over time.

Legal Stuff: All Reverse Mortgage Calculator and all content included on this page and on their website are for borrower convenience only.

For example, based on the recent HUD ruling, someone who marries a reverse mortgage borrower after he or she has taken out the loan or a child of the borrower who had been living in the home would not be entitled to stay on without repaying the loan.

The loan becomes due and payable as soon as the borrower moves from the home or passes away, so if you have plans to move in the next few years, you may want to also wait on getting the reverse mortgage.

For example, if a borrower were to have applied for a Reverse Mortgage on September 23rd, 2010 and their case number was assigned by their Lender on October 4th, 2010 their expected interest rate from September 23rd would be in effect for 120 days from October 4th.

Based on the charts above, borrowers waiting for their homes to increase in value or for that next birthday before obtaining their reverse mortgage may find that the gains they expected by waiting are more than erased by the amount they lose from higher rates.

Reverse mortgage borrowers are not required to make monthly mortgage payments on their home.

Advantage reverse mortgages are loans that allow qualified borrowers to obtain a reverse mortgage on qualifying properties.

The three events combined, higher rates giving borrowers lower benefits on any reverse mortgage that they may seek; an existing HELOC that enters a reset and repayment period (also at a probable higher than current rate) and the fact that replacement HELOCs are more difficult to obtain with current underwriting standards could wreak havoc on unprepared borrowers» finances.

But depending on how much long - term rates rise or fall above HUD's «floor,» borrowers could be eligible to receive more loan proceeds from a reverse mortgage at lower expected rates compared to when rates rise.

The federal insurance on a FHA - insured reverse mortgage provides protection for both the borrower and the lender.

However, today all HECM reverse mortgages are heavily regulated and there are many protections in place to help prevent borrowers from defaulting on their reverse mortgage.

The benefit of the fixed - rate on a reverse mortgage is that the borrower will know with certainty how much the loan balance will be after a period of time.

In this respect, a Home Equity Conversion Mortgage (HECM), commonly known as a reverse mortgage, is no different than other types of financing: although the borrower is not required to make any monthly mortgage payments1, reverse mortgage interest rates impact the amount of equity the borrower can access and the interest that will accrue on the loan Mortgage (HECM), commonly known as a reverse mortgage, is no different than other types of financing: although the borrower is not required to make any monthly mortgage payments1, reverse mortgage interest rates impact the amount of equity the borrower can access and the interest that will accrue on the loan mortgage, is no different than other types of financing: although the borrower is not required to make any monthly mortgage payments1, reverse mortgage interest rates impact the amount of equity the borrower can access and the interest that will accrue on the loan mortgage payments1, reverse mortgage interest rates impact the amount of equity the borrower can access and the interest that will accrue on the loan mortgage interest rates impact the amount of equity the borrower can access and the interest that will accrue on the loan balance.

Fees — While all mortgages have costs associated with the loan, reverse mortgage fees are generally higher than a conventional mortgage but the cost will depend on the type of loan a borrower chooses.

The amount of money a person can get from a reverse mortgage depends on the age of the youngest borrower, home value, and current interest rates.

There is no restriction on how a borrower may use the funds from their reverse mortgage.

The maximum amount a homeowner can borrow using a reverse mortgage is calculated based on the value of the home, the youngest borrower's age, and the interest rate that will be charged on the loan.

One huge advantage of using this type of reverse mortgage is that a HECM for Purchase only incurs one set of closing costs, rather than two sets of closing costs that occur if a borrower purchased a home and then separately took out a reverse mortgage on it.

Backed by the U.S. Department of Housing and Urban Development (HUD) and the Federal Housing Administration (FHA), HECM reverse mortgage loans allow borrowers to access a portion of their equity based on the borrower's age as well as the home's value.

FHA has traditionally been more lenient with reverse mortgage borrowers, but current economic conditions coupled with FHA reserves falling below mandatory levels casts a spotlight on the potential for more liability if reverse mortgage borrowers don't keep their taxes and insurance up to date.

The amount of money available from a reverse mortgage is based on the age of the borrowers, interest rate, and property value.

The basic requirements to qualify for a reverse mortgage loan include: the youngest borrower on title must be at least 62 years old, live in the home as their primary residence and have sufficient home equity.

The line of credit will grow over time and interest will only accrue on withdrawn funds.2 Reverse mortgages do not require monthly payments and borrowers are able to stay in their home and maintain the title.3

While a Reverse Mortgage does not require regular scheduled monthly payments, the program does permit a borrower to make voluntary partial or full payments on the loan.

The reverse mortgage allows you to stay in your home until the last borrower on the loan (or under the current guidelines, a qualified spouse who is under the age of 62 at the time the loan is obtained and is recognized as a Non-borrowing spouse) permanently leaves the residence.

With a reverse mortgage, there are a number of factors input into a calculator and the borrowers» benefit amount or Principal Limit are determined based on the borrowers» age (s), the value of the home or the HUD lending limit (whichever is less), and the interest rates in effect at the time.

Both you and your spouse must be older than 62 years of age and both of you have to be listed on a reverse mortgage as borrowers.

However, the reverse mortgage should be evaluated based on the borrower's particular needs and financial background.

Fixed - rate reverse mortgages give borrowers a one - time, «lump - sum» payment at closing of all of their loan proceeds, after the payoff of any mortgages or liens on their property.

Having said that, reverse mortgages require no payments of principal and interest on a monthly basis, but there is never a pre-payment penalty and we have had more than one borrower who obtained their reverse mortgage with the intention of making periodic payments to keep the balance from rising significantly.

Most Reverse Mortgage borrowers have chosen the adjustable rate option for the simple fact that the fixed rates have historically been quite a bit higher than the adjustable rates, the borrowers qualified for less money with fixed rates and since the borrowers have to take a full draw on the fixed rate loans, it just did not make sense for many senior borrowers.

After you get a reverse mortgage on your primary residence, repayment is not due until the home is sold, the last borrower passes away or permanently leaves the home *.

While proceeds from a reverse mortgage are not subject to personal income taxation, borrowers should seek tax advice on how proceeds may affect government needs - based programs such as Medicaid and Medi - Cal.

Reverse mortgages work similar to how annuities work — they are based primarily on life expectancy of the borrowers.