Connie Perez
REALTOR®
Realty Executives Oceanside
I recently took a class presented by Fairway Mortgage Corporation that was about Reverse Mortgages. HECM (Home Equity Conversion Mortgage), is the most common of the reverse mortgages. With HECM you can turn your equity in your home into tax-free cash. You can use the HECM for Purchase Loan to purchase your retirement home. With this seniors can use the equity from the sale of their previous home to purchase their next primary residence. There would be no mortgage payment, but your would be responisble for insurance, taxes, and maintenance. This will increase the amount of money you have in your pocket to help with the ever increasing living expenses.
For Example: Joe sells his home and has $200,000 cash from the sell. He can use this money to purchase a $400,000 home. The $200,000 would be the initial down payment and HECM loan Joe no longer has a mortgage payment. He now only has to pay for taxes, insurance and maintenance.
Benefits of Reverse Mortgage
Eligibility Requirements
This is just the basics, other factors do play into qualifications, such as interest rates, appraisals, etc....
If you have questions or are interested in more information click here or you can contact Linda or Beth at TheLoanProTeam@fairwaymc.com.