Reverse Mortgage

Q: What is a reverse mortgage?

A: A reverse mortgage is a loan that allows a homeowner to borrow money
from their home without having to make monthly payments for as long as they
live in their home.

Q: How can I qualify for a reverse mortgage?

A: Any home owner over the age of 62 automatically qualifies. There is no
income verification and your credit history or credit scores will not prevent you
from being approved.

Q: How Much Can I Borrow?

The 2006 loan limit is 362,795. The actual amount you will receive will be
dependant upon your homes value and your age.

Q: How do I get the money?

A: There are several ways to choose from

1 Equal monthly payments for as long as you live in your home.

2 A fixed amount monthly for a 10 year period

3 A lump sum at the closing of your loan

4 A line of credit that you can draw from as you need it.

5. A combination of either of the monthly payment options with either of the
cash options.

Q: How is the loan repaid?

A: The loan is only requires payment when your home is sold or when you or
your spouse no longer occupy your home on a permanent basis.

Q: Are Reverse Mortgages safe?

A: The reverse mortgage program guaranteed by the Federal Housing
Administration (FHA) is called a Home Equity Conversion Mortgage. This
loan is the safest reverse mortgage available, because it is guaranteed by a
Federal Agency and you will be able to occupy your home for as long as you
like without being required to repay the loan.

Q: Will I still own my home?

A: Yes. Title remains in your name and you are free to pay off the loan based
on the amount that you have actually borrowed plus any outstanding interest.
There is no prepayment penalty and you are not required to share any future
increase in the value of your home.

Q: Can I refinance my exiting reverse mortgage?

A: Yes. As home values rise you may be eligible to take out a reverse
mortgage for a higher amount. Often there will be reduced closing costs for
refinancing an existing reverse mortgage.

What is a reverse mortgage?

A reverse mortgage is a special type of home loan that lets you as a homeowner convert a portion of the equity your home into cash. The equity built up
over years of home mortgage payments can be paid to you. But unlike a traditional home equity loan or second mortgage, no repayment is required until
you and any other borrower(s) no longer use the home as your principal residence. HUD's reverse mortgage provides these benefits, and it is
federally-insured as well.

Can I qualify for a HUD reverse mortgage?

To be eligible for a HUD reverse mortgage, HUD's Federal Housing Administration (FHA) requires that the borrower is a homeowner, 62 years of age or
older; own your home outright, or you are willing to pay off any liens at the closing with proceeds from the reverse loan; and you must live in the home. You
are further required to receive consumer information from HUD-approved counseling sources prior to obtaining the loan. You can call 1-800-400-4134 to
obtain the name and telephone number of a HUD-approved counseling agency.

For more Reverse Mortgage Information click here The Top_10_Things_You_Should_Know About A Reverse Mortgage