Reviews from past Reverse Clients
Norma Sosa Gonzalez
Elena Z. George
Julio Dominguez
Sofia Ochoa
Lisbett Oliva
Annabelle Rivera
Vivien Weisman
Aryian Singh
Is a reverse mortgage for you?
As individuals continue to live longer and longer, it is now becoming harder to save enough for retirement. Not that living longer is a bad thing, but the comfort of being financially secure is warming. As you get older, you tend to gain equity in your home. What many people do not realize is that this equity can be tapped and turned into cash. Possible options for that include a line of credit, a cash-out refinance, or a reverse mortgage. While each option has its advantages, only one requires no payment to be made for the remainder of your life. A Reverse Mortgage may be a great option for anyone who is 62 years or older and interested in any of the following:
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You cannot qualify for a normal forward mortgage loan
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You no longer wish to make a mortgage payment
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You would like to gain liquidity for numerous reasons
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Home repair
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You just want to have fun
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Need a new car
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Have questions or want to learn more? Call (305) 467-6813
Traditional ways to get money out of your home:
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Sell your home – You would need to move
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Take out a forward loan or a line of credit – This would require an income and credit qualification. This would require a new monthly payment.
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Get a reverse mortgage – You would not have to move and no monthly payment would be required.
Eligibility
When applying for a reverse mortgage, you must meet the following qualifications:
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Borrower must be at least 62 years of age.
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Borrower must live in the home as their primary residence and have sufficient equity.
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Borrower must be able to pay off their existing mortgage using the Reverse Mortgages proceeds.
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Live in a single family, 2 – 4 unit owner occupied home, townhouse, approved condominium or manufactured home on its own property (no rental lots).
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Meet financial assessment per HUD guidelines.
In addition to eligibility, you must meet the following conditions to obtain a Reverse Mortgage (HECM) loan:
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Complete HUD approved counseling session.
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Maintain home according to FHA requirements.
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Continue to pay property taxes and homeowners insurance.
How Much Money Can You Receive?
The two main driving forces when factoring how much money you can receive from a reverse mortgage are age and home value. In general, as you get older the lending limit will increase. The three main options for receiving your funds are through a lump sum, line of credit, or monthly payments.
Line of Credit
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This is a popular option because of the flexibility.
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No interest accrues on monies in the line of credit until they are spent.
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Can use credit line growth. Money that hasn’t been spent continues to grow at a rate higher than the current loan rate.
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Can be combined with monthly payments or a larger disbursement at closing.
Monthly Payment
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Get a set amount to supplement monthly income.
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Can be either term (set amount of years) or tenure (fixed payment as long as the reverse mortgage is active) payments.
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Can be combined with a line of credit
Lump-Sum
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Take out a large sum at closing
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No credit line growth
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Amount available may be less than other options above.
Have questions or want to learn more? Call (305) 467-6813
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First Equity Mortgage Bankers, Inc. (FEMBi Mortgage) NMLS#162197, is a fully diversified mortgage bank. We finance the purchase and refinance transactions through Conforming, Non-conforming, FHA, VA, and USDA/Rural loans.
DISCLAIMER: FEMBi Mortgage has no affiliation with any government agencies or lenders. If you stop paying your mortgage, it may impact your credit.