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I am 68 years old. What are qualification for the "no payments" option with HECM mortgage?

by jcholewa193 from Orlando, Florida. Jul 22nd 2019 Reply

William J Acres (William_Acres)
#73 ranked lender in Arizona - 8,728 contributions

More info needed,but in general.. if you own a home and have at least 45% to 50% equity, you can do a reverse mortgage.. With a HECM, you can take the option of no mortgage payments.. you would still need to pay your homeowners insurance, property taxes, and any other assessments like HOA or clubhouse fee's, etc.. but there will be no mortgage payment.. If you have really bad credit or limited income, then the lender will impound taxes and insurance based on their LESA (Life Expectancy) For this loan, typically, credit is not an issue, so good credit or bad credit can qualify.. each lender is different, but for most, credit history is not a factor.. You can live in your home as long as you wish without having to make a payment.. However, if you decide to move, or if you have to move because of declining health, then you would need to sell the home and payoff the existing balance.. if the balance is greater than what the property is worth, neither you nor your estate will be liable.. if the property is worth more than what's owed, then you sell, pay off the balance, and keep the remaining funds.. I'm a preferred Lender with California and Arizona being my primary markets. If you or someone you know is looking for financing options, feel free to contact me or pass along my information. 480-287-5714 NMLS# 226347 / MKS Lending LLC DBA Trusted Lending Center, NMLS 1018196 / AZMB 1414920

Jul 22nd 2019
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