Unlike a traditional home equity loan or home equity line of credit, a reverse mortgage doesn’t have to be repaid until the last surviving borrower no longer lives in the home, or the home is sold. If the borrower does not meet loan obligations such as taxes and insurance, and maintaining the condition of the home, then the loan will need to be repaid.
- AM I ELIGIBLE?
To be eligible for a reverse mortgage:
- All titleholders must be age 62 or older.
- The home must be the borrowers’ primary residence, and must meet Federal Housing Authority (FHA) minimum property standards.
- You must have sufficient home equity. A Reverse Mortgage Specialist from UFA can tell you if you have enough home equity to qualify.
- WILL THE BANK OWN MY HOUSE?
No. Just like a traditional mortgage, as long as the terms of the loan are met, the
borrowers retain full homeownership and can sell the home at any time.
- HOW MUCH MONEY CAN I GET?
This is determined by the age of the youngest borrower, your home value, the amount of equity, FHA lending limits, the current interest rate, and the reverse mortgage product and payment option you choose. A Reverse Mortgage Specialist from UFA can provide you with a quote that’s tailored to your specific situation, with no cost or obligation.
- HOW DO I RECEIVE MY PROCEEDS?
You can take your funds as a lump sum; monthly payments for a specified time period, or for as long as you live in the home; a line of credit; or a combination of these.
- AM I SPENDING MY CHILDREN’S INHERITANCE?
A reverse mortgage may help you plan for a more comfortable retirement, lived with greater financial independence. At UFA, we encourage you to involve family members in your decision process—so you can make the choice that’s right for you. When the home is sold or is no longer estate, and can be transferred to heirs.
- WHAT ARE THE COSTS ASSOCIATED WITH A REVERSE MORTGAGE?
In addition to interest, the costs can include a property appraisal fee, origination fee, closing costs, mortgage insurance premium, servicing fee and a modest charge for HECM counseling. While closing costs vary based upon the type and size of the loan, they’re the same as those for any traditional mortgage. You can roll most of the up-front costs into the loan, so out-of-pocket expense can be minimized. A UFA Reverse Mortgage Specialist will be pleased to give you a detailed cost breakdown.
To find out how we can potentially help finance your elder care needs
and answer all of your reverse mortgage questions,
please contact our friendly Reverse Mortgage Specialists today:
1-800-203-2726
Click Here
UFA is one of the top lenders of reverse mortgages in the United States. We are a trusted resource, and we’re committed to matching customers with the right product—empowering them with the financial independence they’ve earned.
