At Standard Lenders, we specialize in educating our clientele in regards to the many benefits that come with a reverse mortgage.
ONE CASH LUMP SUM OR LINE OF CREDIT
PAY OFF CREDIT CARDS & MEDICAL BILLS
PAY FOR CAREGIVING OR EXPENSES
RENOVATE OR MAKE IMPROVEMENTS
frequently asked questions
Common questions regarding reverse mortgages.
So, what is a reverse mortgage?
A reverse mortgage is a flexible payment program that allows you to pay when and if you want, rather than requiring monthly payments. Reverse mortgages eliminate the monthly payments that are necessary for regular mortgages altogether.
Are reverse mortgages insured?
Since 1989, the Home Equity Conversion Mortgage (HECM) has been insured by the federal government through the Federal Housing Administration (FHA), a division of the Department of Housing and Urban Development (HUD).
Is a reverse mortgage right for you?
If you feel that you’re in need of more financial flexibility or that your life could be made more comfortable with a lump sum of cash, a reverse mortgage is an excellent way to leverage your home’s equity & insure that you can live comfortably.
Do you qualify for a reverse mortgage?
A homeowner must be at least 62 years old.
The property must be your primary residence.
Your home must be a single-family home, a two to four-unit owner occupied home, townhouse, approved condominium unit, or certain manufactured homes.
You must attend a HUD-approved counseling session either by phone or in-person.
You must pass financial assessment guidelines and continue to pay future property taxes and your homeowner’s insurance.
How much money can I get out of a reverse mortgage?
The amount that you can receive is based on the youngest borrower’s age, the property’s current interest rate, its current liens & FHA lending limits.
How do I receive the proceeds?
Proceeds can be obtained as either a cash lump sum or through a line of credit depending on the borrower’s preferences.
How is a reverse mortgage loan repaid?
With a reverse mortgage, the loan is due after the borrower(s) pass away or move residences. At that point, you or your named heirs have the choice to sell the home to pay off the loan & receive leftover equity as cash or choose to refinance into a traditional mortgage.