Reverse Mortgage – FHA’s Home Equity Conversion Mortgage (HECM)

A FHA HECM reverse mortgage loan is a very special type of loan that permits borrowers to convert some of the equity in their home to cash.  Reverse  mortgages can give senior homeowners the funds they  need to lead a more secure and enjoyable retirement,  repair their homes, or potentially pay for long-term care  and other necessary expenses, while allowing them to  continue to live in their own homes for as long as they want. Borrower Requirements You must: ●      Be 62 years of age or older ●      Own the property outright or have a relatively small mortgage balance ●      …

The New Real Estate Boom(ers): Purchasing with Reverse Mortgages

In October of 2008, HUD rolled out their reverse mortgage product and in March of 2009, they perfected it. With rates expected to rise and the tax credit setto expire, many real estate professionals are looking for new and under-served markets to reach out to. Since HUD has perfected their reverse mortgage, the Home Equity Conversion Mortgage (HECM) and the market for US residents 62 or older is expected to nearly double between now and 2050, perhaps now is their time. A reverse mortgage is a loan where home equity is converted into a lump sum payment or series of payments to …