Less than one thousand dollars is all it may cost in fees to obtain a reverse mortgage. If you or know of someone who thought of obtaining a reverse mortgage in the past but thought that they were too expensive with upfront costs, it may be worthwhile to take another look.
A low fee option of the reverse mortgage has just been rolled out which may be what some retirees are looking for. It’s important to note that there are now several different types of reverse mortgages. There are the HECM federally insured reverse mortgage products, and there are non-HECM loans that are not federally insured. The low fee option falls under the non-federally insured category.
There is even a non-HECM reverse mortgage that is a second mortgage as well for those who do not want to pay off their existing low rate first mortgage but like the idea of having a second mortgage without monthly payments.
Buying a home with a reverse mortgage is another option which basically is a large down payment and no payments on the balance of the loan. You have a federally insured HECM option as well as the low fee non-HECM option to use to purchase the home.
Reverse mortgages may not be a fit for all senior citizens but rolling out new products is a step in the right direction providing additional choices for retirees and their financial needs.
If you have any questions or concerns regards the newest reverse mortgage programs, let me know, I’m here to help.
Kindest regards,
Kevin Walton, NMLS #245923//C2 Financial Corporation NMLS #135622//
Cell: 805-276-1942//[email protected]//www.californiareversemortgage.biz
Kevin Walton DRE #, 01453270//C2 Financial Corporation DRE#, 0121025
C2 Corporate: 858-312-4900//