Reasons to Consider a JUMBO Reverse Purchase

When to Consider a Jumbo Reverse Mortgage Purchase

Before I share the reasons to consider a Jumbo Reverse Mortgage, I'd like to share the max loan amount and value.  The JUMBO Reverse has a max loan amount of $4,000,000 and $10,000,000 appraised value.  This is an incredible program for high value homes.

For many retirees, home equity is one of their greatest assets. Homeowners – age 62 and older – with higher-end properties have turned to proprietary “jumbo” reverse mortgages to unlock this valuable source of housing wealth, and for a variety of reasons.

The majority of reverse mortgages available on the market today are Home Equity Conversion Mortgages (HECM), which are insured by the Federal Housing Administration. While many American retirees have successfully utilized these products, conventional HECMs are not applicable for particularly high-end homes.

Here are three reasons to CONSIDER a jumbo reverse mortgage.

1. Your home value is greater than $726,525.
FHA insures HECM reverse mortgages on properties valued up to $726,525, so the maximum amount of loan proceeds you may be eligible to receive from a HECM is capped. If your home exceeds the $726,525 lending limit, you may be better served by a “jumbo” reverse mortgage loan.

2. You can access more funds.
Proprietary jumbo reverse mortgages, which are not FHA insured, are privately insured by the companies that offer them. These products are often called “jumbo” loans because they allow borrowers to access significantly higher loan amounts compared to traditional HECM reverse mortgages.

3. You may tap into home equity from a higher-end condo.
Retirees living in condominiums may also take advantage of reverse mortgages, however, not all condos are FHA-approved to be able to utilize HECM financing.  A unique distinction of jumbo reverse mortgages is that condos appraised at $500,000 or more do not require FHA approval, which allows them to be potentially eligible for a Home Safe jumbo loan.  The homeowner must live in the property as the principal residence and continue to maintain property charges including property taxes, fees, hazard insurance and maintain the home. If the homeowner does not meet these loan obligations, then the loan will need to be repaid.

If you’re a homeowner age 62 and older considering a jumbo reverse mortgage and would like to learn more about this loan, please contact Kathie Adler, Senior Mortgage Specialist and loan officer.

Contact Kathie Adler

The best way to see if a Reverse Mortgage Jumbo purchase will povides what you need is to receive a free proposal. Please either call or complete the contact form below, and I will work on your behalf and assist you in the process. (NOTE: All Jumbo Loans arranged through third party providers.)



HomeSafe® for Purchase – Right-Size Your Home for Retirement

The HomeSafe® for Purchase is retirement financing product ideal for borrowers who are looking to relocate or right-size to a new home. It allows borrowers to increase their buying power when purchasing their ideal retirement home while eliminating their monthly mortgage payments.

The HomeSafe® suite include the HomeSafe® Select, HomeSafe® Standard, HomeSafe® Flex, for Purchase, and HomeSafe® Second. This article will provide a deep dive into the scenario where the HomeSafe® for Purchase product maximizes the borrower’s benefits.

HomeSafe® for Purchase Solution

Prior to 2008, many retired homeowners wishing to relocate had to purchase their new home using traditional financing, season their residency in the home, and then refinance with a reverse mortgage later.

Now, a HomeSafe for Purchase may be used to purchase a primary residence without having to waste the cashflow associated with traditional financing. This pathway allows homebuyers age 62+ to purchase a home and obtain a reverse mortgage in a single transaction. The HomeSafe for Purchase can eliminate costs, hassle, and time, making it easier for retired homeowners to relocate. It also increases the buyer’s purchasing power by allowing the lender to finance a portion of the sales price. HomeSafe for Purchase helps homeowners with three broader goals:

  1. Many want to RELOCATE to be closer to family members
  2. Many need to DOWNSIZE to homes to match their needs
  3. Many want to UPSIZE to their dream home for retirement

Advisors Mortgage follows the same Financial Assessment qualifications on Jumbo Reverse Mortgages as the FHA HECM product. The HomeSafe is a non-recourse loan and the borrower or their heirs have no personal liability for repayment of the loan and can never owe more than the loan amount or appraised value, whichever is lower.  There are no prepayment penalties, however, on the fixed rate HomeSafe, a borrower cannot redraw prepaid funds.

Reverse Mortgages, with their built-in consumer safeguards and flexible options for accessing equity, are transforming the way people approach retirement. With any financial decision, it is important to carefully consider your options. The right financial advisor can guide you to a great decision that works with your financial goals.


Financial Assessment Steps

What are the steps to getting a Reverse Mortgage?


Preparing for Your Reverse Mortgage Financial Assessment

Have you decided that you are ready to apply for a reverse mortgage? Before you complete your application, you will first you will need to take a few preliminary steps, starting with a mandatory financial assessment to make sure you are financially able to meet your loan obligations.

To get ready for the financial assessment, you should first speak to a reverse mortgage lender to learn how the assessment will be conducted as well as the documentation you will be required to provide.

Gathering the paperwork

To move the process along, it’s helpful to gather all of the proper documents together in one place before you meet with a loan originator. You will need to locate and document financial records.

  1. Proof of income. Collect pay stubs, W2 forms and if you’re retired, any other documentation of income in retirement. This could include documentation for Social Security (if you’re collecting it), pension details, or 1099 forms for any contract work.
  2. Asset information. You will be required to provide all information from checking and savings accounts, independent retirement accounts (IRAs) or any other investment accounts you may have.
  3. Chronological list of all of your debts. This includes mortgage information, auto loans, credit card debt and anything else with fixed terms and payments.

Safety through financial assessment

The financial assessment is a safety measure in the borrower’s best interest. Because borrowers are still required to pay property taxes, insurance and various other payments for the upkeep of your home, the assessment and documentation helps ensure the borrower does not end up in a poor financial situation as a result of the loan.


Advisors Mortgage is a licensed mortgae banker. All Jumbo and Commercial Loans arranged through third party providers.



REVERSE MORTGAGE HELPLINE.COM - Answering Your Questions about Reverse Mortgages  KATHLEEN ADLER, SENIOR REVERSE MORTGAGE SPECIALIST - RESIDENT OF LONG ISLAND FOR OVER 50 YEARS - Member of Sun Suffolk and NRMLA (National Mortgage Lenders Association) 

KATHLEEN ADLER'S NMLS ID: 65780  - For the NMLS Consumer Access Site, go to: www.    

Contact Kathie Adler - 631-804-9044

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