Larry McAnarney
815-703-4745
Reverse Mortgage Rules
Reverse Mortgage Rules, Regulations Laws
Although state regulations for mortgage loans vary by state, Reverse Mortgage Rules are basically the same. We are discussing the rules here for the Home Equity Conversion Mortgage (or HECM) reverse mortgage, as it is the most popular. HECM Reverse mortgage rules and regulations typically involve the eligibility of the borrower, the amount loaned, and related requirements.
Reverse Mortgages Rules for the Borrower
- >>Borrowers must be Age 62 years or older
- >>Own their home and have enough equity in to qualify
- >>Occupy the home as primary residence
- >>Receive counseling by an approved HUD/FHA counselor
- >>The home must be in reasonably good repair
Reverse Mortgage Rules Regarding Payment Options
- >>Lump sum disbursement
- >>Monthly payments
- >>Line of credit
- >>A combination of the Above
Reverse Mortgage Rules Regarding Loan Amount
The amount of a reverse mortgage loan is based on several factors. When you wonder how much you can get, keep in mind the following:
- >>Age of the youngest borrower
- >>Value of the home
- >>How much is owed on the home (if any)
- >>Current interest rate
To learn more about reverse mortgage rules, regulations and laws, or to request Information on Reverse Mortgages, please Contact us today. There is no obligation, and the information is free. You may visit the following link to return to the ReverseMortgage home page.