Reverse Home Mortgage

by Too Young For Reverse Home Mortgage

Regarding Reverse Home Mortgage: Hi Kate, My husband got a reverse home mortgage two and a half years ago. He was 62 and I was 50. He passed away in 2008. I am still living in our home until I either sell or try to buy it. My question is can I just take out a home equity loan, pay off the $110,000 reverse mortgage? I only make $30,000 and with these times I doubt if I can get a mortgage.


Regarding a Reverse Home Mortgage

Ask Kate at Get-Your-Best-Mortgage-Rate.com
Dear Too Young For Reverse Home Mortgage, First of all, I extend my sympathies to you for the loss of your husband.

Two questions come to mind as I read your letter:

1- Will you inherit the house? (Estate question)

2- Do your state laws, such as community property laws, have any bearing on ownership rights? (Title question)

If your laws determine you have ownership in the house, a refinance of the reverse home mortgage might be appropriate.

If you are not an owner, have you considered a mortgage pre approval to determine how much you can borrow?

If I were in your shoes, I would also want to know if the mortgage company servicing the reverse home mortgage would help me refinance the $115,000 into an affordable fixed rate mortgage?

As far as qualifying for a mortgage, here is something to consider. No matter what the market, you are the potential homeowner. And in that light, here's how to qualify a lender.

After all, it is your mortgage! Who will ever care about it more than you?

I hope you'll come back to my website again in the future. Of course, all of my information is free. So remember to save Get-Your-Best-Mortgage-Rate.com in your favorites and visit often for mortgage news and up-to-date tips on refinancing.

Best wishes,

Ask Kate

Reverse Mortgage Help for Senior Citizens

What Is a Reverse Mortgage? Specialty mortgages created to produce income without a monthly payment.

Will heirs become responsible for homes financed with a Reverse Home Mortgage?

Learn who can help homeowners evaluate Reverse Mortgage Income for Seniors before refinancing.

Meet the stable FHA Reverse Mortgage Refinance Program (HECM) and learn the payment options.

Introducing the FHA Reverse Mortgage Purchase Program (HECM) for Senior home buyers.

Seniors and family members Ask Kate for Reverse Mortgage Information.

Important: Senior homeowners should consult a financial planner, tax accountant, and/or attorney as applicable to evaluate their circumstances before financing with a reverse mortgage. Even if not a loan requirement, reverse mortgage counseling is highly recommended.


Comments for Reverse Home Mortgage.

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Can you apply for a reverse mortgage on a new loan?
by: Willie W from Atlanta, TX

Can you apply for a reverse mortgage on a new loan? Can we live in a house for 3 months and apply for a reverse mortgage?

Hi Willie, Kate here...

Although the HUD reverse mortgage program does not have a minimum requirement of ownership, some lenders may add this guideline because they can't determine if the house is truly owner-occupied.

So whatever documentation you can provide to demonstrate that this is your primary home (for example, utility bills with home address or recent sale agreement from your previous principal residence) may put the underwriter's mind at ease.

Best wishes, Kate

Reverse Mortgage
by: Home Owner in Chestertown, MD

I have a Federal Tax Lien on my house. I wanted to take a reverse mortgage to pay off this debt along with my mortgage. Can I do this?

My wife is 56 and I am 63. We want to remove her from the deed in order to take a reverse mortgage. What form is needed for this?

Hi, Kate here. You are right to question this because sometimes a homeowner or home buyer in an IRS payment plan can still get mortgage approval. But this differs among loan programs.

In that light, there are various Reverse Mortgage plans so you will need to check with lenders as you shop for a loan originator. Be very specific when you ask about the Federal tax lien. Make sure the originator is not shooting from the hip and is giving you accurate information based on experience with the particular reverse home mortgage underwriting guidelines.

If the only reason you are removing your wife from the ownership of the property is to qualify for the reverse mortgage, ask the lender what form they recommend because they may have specific requirements.

Best wishes with your refinance, Kate

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You can also ask Kate about your mortgage at Refinancing Advice The Nuts and Bolts.

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