Reverse Mortgage Lenders

Reverse Mortgage Lenders

Reverse Mortgage Lenders
You've made the​ decision that you​ need some extra assistance in​ meeting your monthly financial obligations .​
One of​ the​ best options for those over sixty-two years of​ age who own their own home is​ a​ reverse mortgage .​
Instead of​ you​ paying the​ bank each month,​ the​ bank will actually pay you​ .​
The loan can be taken out as​ a​ lump sum,​ a​ fixed monthly payment or​ as​ a​ line of​ credit .​
You do not have to​ pay back the​ loan until you​ sell your home or​ move out permanently .​
There are many reverse mortgage lenders such as​ banks and credit unions that you​ can contact to​ obtain details about these loans .​
Rates may vary so you​ will want to​ check around with various banks before deciding .​
There are several types of​ reverse mortgage loans and they include the​ following:

Home Equity Conversion Mortgage - HECMs are the​ oldest types of​ reverse mortgage loans and the​ most popular .​
They are insured by the​ federal government through the​ Federal Housing Administration,​ which is​ part of​ the​ U.S .​
Department of​ Housing and Urban Development .​
The amount of​ money you​ can take out as​ a​ reverse mortgage loan depends upon your age,​ the​ appraised value of​ your home,​ current interest rates and the​ location of​ your home .​
The older you​ are and the​ higher the​ equity (what it​ would sell for less what you​ still owe),​ the​ higher the​ loan amount can be .​
For 2018,​ the​ loan limit for a​ home in​ a​ rural area is​ $200,​160 while the​ limit for high cost areas is​ $362,​790 .​

Another reverse home mortgage product that you​ can obtain from a​ lender is​ the​ Fannie Mae Home Keeper .​
Fannie Mae is​ the​ largest investor of​ home mortgages in​ the​ country and a​ major investor in​ reverse mortgages .​
Fannie Mae developed its own reverse mortgage product as​ an​ alternative to​ the​ HECM to​ address the​ needs of​ customers who had a​ higher property value on​ their home .​
Home Keeper loans can be larger than HECMs because their mortgage limit is​ higher .​
Another Fannie Mae reverse mortgage product is​ the​ Home Keeper for Home Purchase program .​
This is​ for seniors who wish to​ use the​ reverse mortgage loan to​ buy a​ new home .​
For example,​ let's say someone sold his home for a​ $60,​000 profit and wants to​ buy a​ new house for $100,​000 .​
He could get a​ reverse mortgage using money from a​ Home Keeper loan so he would not have to​ use his savings to​ purchase the​ more expensive home.

The opportunities are endless for borrowing against the​ equity in​ your home from reverse mortgage lenders you​ can depend upon.

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