The Home Equity Conversion Mortgage “HECM for Purchase” can help you buy a new home without the monthly mortgage obligation!
Baby Boomers are the fastest-growing demographic group in the U.S. and they’re changing the face of the reverse mortgage industry by selecting reverse mortgages in greater numbers than their elders. And now, this HECM Purchase program allows them to purchase a new principal residence using loan proceeds from the reverse mortgage.
Enjoy the following benefits:
• FHA-insured loan – client’s loan and home are safe
• Non-recourse loan – This means, there is no recourse to the borrower, their estate or heirs if the HECM loan balance exceeds the home’s value at maturity as long as the borrower or their estate sell the property to pay off the debt. If the borrower or their estate want to retain the property, the balance must be paid in full. Any equity remaining in the property after the reverse mortgage is retired belongs to the borrower or their estate.
• No monthly mortgage payments – cash flow is preserved*
• Senior enjoys just one set of closing costs
• Potentially allows client’s additional savings for retirement needs
• Homeowner retains title*
* Homeowner continues to pay insurance and property taxes, live in and maintain home. Home must be primary residence. Program not currently available in all states.
Some powerful features of this program include:
• Downsize for more affordable living
• Relocate to be closer to family
• Purchase a single level, more accessible home
• Buy or sell a condo
• Purchase a more expensive home without incurring a monthly mortgage payment*
Qualifications:
• Homeowner must be 62 years of age or older
• No second/vacation or investment homes
• Present home must be in name of client and primary residence
• Must have considerable home equity or must provide monetary investment at closing from allowable funding source
• Home meets minimum FHA property standards
• Only HECM first and second liens against property
• Occupy property as primary residence within 60 days
• Mandatory Counseling Session
• Taxes & home insurance are paid by your client and not escrowed
For more information on the HECM for Purchase program please visit www.ReverseSecure.com or call Robert Jones at Sun American Mortgage at 480-467-1107.
Robert E. Jones
Sun American Mortgage
Reverse Mortgages
