Home Values Starting to Rise
I recently read an article that indicated that several places in the midwest were starting to see a turn-around in the value of homes. Instead of staying relatively stagnant, the inventory is starting to decrease which means that supply v. demand will begin to change the direction of home prices.
This is good news for those [...]
Reverse Mortgage Misunderstandings
We often speak with seniors who don’t understand the costs associated with a reverse mortgage and then when presented with the costs are surprised and prior to getting more information choose not to proceed.
I want to make a few comparisons on costs so that the pricing makes more sense. A “regular” mortgage typically has a [...]
When Does the Reverse Mortgage Loan Need To Be Repaid?
The loan repayment is triggered when the home is sold or is no longer occupied as your primary residence. In a case of more than one borrower, repayment is triggered when the last borrower permanently moves out of the home. Until one of these events takes place, the last borrower may live in the home [...]
Can I Owe More Than My Home Is Worth?
A reverse mortgage is a “non-recourse” loan which means that you, your heirs, or your estate cannot be required to repay more than the appraised market value of the home at the maturity of the loan. If the loan balance exceeds the value of the home, you, your heirs, or your estate will only be [...]
Requirements for a Utah Reverse Mortgage
There are no special requirements for a Utah Reverse Mortgage. As long as you have equity in your home, are 62 years old or older, you can qualify for a reverse mortgage.
You don’t need to have income or any special financial requirements including a certain credit score. A reverse mortgage is simply a tool to [...]
Can You Still Get a Reverse Mortgage if You Have a Mortgage?
If you have an existing mortgage, you can still qualify for a reverse mortgage. The way this works is that the reverse mortgage must be in the first lien position so any existing debt must be paid off. You can take funds from the reverse mortgage to pay off the existing mortgage or you can [...]
Why Counseling is Important for Reverse Mortgages
One of the best features about reverse mortgages is the mandated 3rd party counseling built into the program to protect the consumers, in this case seniors who tend to be targets for fraud. The counseling insures that you understand the program and review alternatives prior to applying for a reverse mortgage.
Some of these 3rd party [...]
What is a Reverse Mortgage?
With a reverse mortgage, seniors age 62 or older can convert the equity in their homes into a tax-free income without having to sell the home. With a reverse mortgage, you won’t have to give up title or take on any new monthly mortgage payments. A reverse mortgage is just that… “reversed” in that instead [...]
Conventional Utah Reverse Mortgages
Many lenders now have “conventional” reverse mortgages that feature several of the same consumer protections but are not insured by the federal government. These types of reverse mortgages do require mandatory counseling and asset protection, meaning the non-recourse feature that limits the amount you owe to the value of the home.
These conventional reverse mortgages are [...]
Fannie Mae Home Keeper Reverse Mortgage
Fannie Mae is the largest investor of mortgages in the nation and also a major investor of reverse mortgages. This also includes the federally insured Home Equity Conversion Mortgage (HECM).
As an alternative to the HECM, Fannie Mae created the Home Keeper reverse mortgage. This was developed to address issues with individuals with higher property values, [...]