You have lived in your home, many of you for over 25 years. You mow the grass, you fix up the house, but perhaps ,you're thinking of letting your home work for you. Tapping into tax free equity from your home's retirement "bank" is easy. Actually, it's as easy as breaking the piggy bank!
How do I start the process of obtaining money from my home with a Reverse Mortgage? Begin by meeting with a Reverse Mortgage Specialist to review the different programs, closing costs, and structure your loan to suit your needs.
Even though the FHA Max lending limit is now $726,525, homeowners with houses in the millions can benefit from the FHA Reverse Mortgage Jumbo programs. We arrange these loans through third party providers.
So when is your home going to start paying you back?Below are the steps toward getting a Reverse Mortgage. After all, you're worth it.
Is there more month left at the end of the money?
You may require more monthly proceeds than offered by your typical Reverse Mortgage. A term loan may be the answer. Example: You qualify to receive $1,200 per month, but your lifestyle requires $1,600 per month. Your Reverse Mortgage Specialist may be able to structure your Reverse Mortgage as a term loan so your monthly check will be higher.
You will be able to decide which option best suits your needs.
1. Contact a Reverse Mortgage Specialist: Begin by contacting a Reverse Mortgage Specialist. You will receive a free, no obligation consultation so you can examine the Reverse Mortgage figures and parameters. Your Reverse Mortgage Specialist, Kathie Adler, can make an in home visit or you can meet at her place of business. Discuss all your options and determine if a Reverse Mortgage is right for you. You may want to invite a friend, family member, or financial advisor to the consultation.
2. Independent Reverse Mortgage Counseling: Reverse Mortgage counseling with a HUD approved counseling agency must be completed prior to getting an appraisal of your property. reverse mortgage counseling was set up by the Federal Government as a safeguard for borrowers. It is there for your protection and ensures that all your questions are answered and that you understand the parameters of a reverse mortgage. NOTE: There is nothing to preclude signing an application prior to Reverse Mortgage counseling. But nothing can proceed until HECM counseling is completed.
After your counseling session, you will receive a certificate. If counseling is done over the phone the certificate can be faxed to you to expedite the process. (An original will be mailed to you.
Contact your Reverse Mortgage Specialist to advise them you have completed Reverse Mortgage counseling. You will provide your specialist with the original certificate and retain a copy for yourself.
3. The Reverse Mortgage application: Your Reverse Mortgage Specialist will walk you through the application & signing process, and you will decide how you wish to receive your funds.
4. Documents required at application signing: Photo ID, verification of social security number, and proof of identity is required.
5. Appraisal & Title Search: An appraisal of your home will be performed to determine its value. With a reverse mortgage, a full appraisal is required which means an interior and exterior inspection will be conducted, and photos of parts of your home (inside and outside) will be taken. The appraiser will compare your home to homes in your area that are similar to yours. A title search will conducted to determine ownership of your property.
6. Submission of Your Loan to Underwriting: After the appraisal and title are completed, your application can be submitted to Underwriting at the lender. Once the Underwriter determines that the home meets the requirements of the lender and FHA, a conditional approval is issued.
7. Conditions Required by the Lender: There is one more step before your loan is cleared to close: conditions required by the lender. There are various conditions that the underwriter may require. Your Reverse Mortgage Specialist will work with the underwriter and you to complete all the conditions.
8. Clear to Close: Your Reverse Mortgage Specialist will inform you when your loan is clear to close. This means all conditions have been satisfied, all the necessary documentation has been deemed acceptable, and your loan can close.
9. Closing: Your Reverse Mortgage Specialist attends your closing along with the attorney for the lender and the title closer (who is responsible for paying your taxes and insurance). Closings generally take about one hour or more.
10. Right of Rescission: You have three days in which to reconsider and cancel the reverse mortgage transaction. This is known as the the "right of rescission" period. (Saturdays are included. Sundays are excluded.)
Funding: You get your money! (either by direct deposit into your checking/savings account or by check which can be overnighted to you or picked up at the closing agent's office.
"It's been a pleasure to be able to spend more time with our grandchildren. We were able to buy a second home with our Reverse Mortgage proceeds and move closer to our children."
I did a reverse mortgage for a couple who loved to travel -- with the grandkids! They weren't interested in fancy cars or other things, they just wanted to spend as much time with family as they could. Your desire or need for a reverse mortgage will be entirely your own. Maybe your needs are different, maybe you will pay for in-home care with your reverse mortgage proceeds. It doesn't matter what you wish to use the money for, it's yours to enjoy from your equity.
KATHLEEN ADLER'S NMLS ID: 65780 - FOR THE NMLS Consumer Access Site, go to: www.http://nmlsconsumeraccess.org
Reverse Mortgage Helpline - Answering Questions on Reverse Mortgages
KATHIE ADLER, SENIOR REVERSE MORTGAGE SPECIALIST - RESIDENT OF LONG ISLAND FOR OVER 50 YEARS - Member of Sun Suffolk - and NRMLA, NATIONAL REVERSE MORTGAGE LENDERS ASSOCIATION
ADVISORS MORTGAGE GROUP, LLC Branch NMLS 1833015, 3330 Park Avenue, Suite 1, Wantagh, NY 11793
Licensed by the New York State Department of Financial Services, Licensed Mortgage Banker.
Licensed by the New Jersey Dept of Banking and Insurance
KATHLEEN ADLER, Mortgage Loan Originator, NMLS Identifier 65780, Licensed by the New York State Department of Financial Services, Licensed by the New Jersey Dept of Banking and Insurance. This Website maintained by Go Daddy, Copyright 2014 - Website name obtained in 2008. All Rights reserved.
NOTE: Website authorization by New York State Dept of Financial Services is pending. Until this website is authorized, no mortgage loan applications for properties located in New York will be accepted through this site.