Fellowship Home Loans
Reverse Mortgage
The most commonly used type is the Home Equity Conversion mortgage, or HECM. The program is funded through the FHA and is available only through lenders affiliated with FHA. Reverse mortgages are designed to allow older homeowners to tap the equity they’ve built up without having to sell their homes. Homeowners are still responsible for payment of taxes and insurance.
Advantages Of A Fellowship Home
Loans Reverse Mortgage
- Individuals 62 years old and older are eligible
- No monthly payments are required
- The program provides tax-free monthly income (consult your tax advisor)
- A reverse mortgage allows you to remain in your home
- The title for the property remains in your name
- You can now use the proceeds from a reverse mortgage to purchase a new home
How Is the Amount of
Reverse Mortgages
Determined?
It’s really not complicated. First, of course, age is important. The amount available will depend on the ages of the borrowers, particularly the youngest borrower or non-borrowing spouse. Next, the current interest rate is a factor. Third, the amount available is limited by the appraised value of the property. Also, it’s important to remember the maximum amount available is $625,000. To find out how much you may be able to qualify for, get in touch with a Fellowship Home Loans reverse mortgage expert. While no one can tell you exactly how large a reverse mortgage you may qualify for without going through all the required steps, our experts can help you estimate what is likely to be approved
