Reverse Mortgages are great tools that every Realtor should understand.  By understanding reverse mortgages, Realtors can help seniors sell their current home and buy a new one without a monthly mortgage payment.

Many children move from home and start families leaving grandparents miles away.  The New Reverse mortgage enables seniors to use the equity they have built over the years to purchase a new home more suitable to their needs.

Watch this Realtor Webinar to learn more.

The New Reverse Mortgage or  HECM features include:

• Homeowners retain full ownership of the property while only making a roughly 50% down payment.
• There are no monthly mortgage payments.
• The HECM is a non-recourse loan, so borrowers will never owe more than the value of the home.
• The maximum claim amount is $765,600 or the appraised value, whichever is lower.
• The borrower chooses from multiple payment options including No Monthly Mortgage Payment. Taxes, HOA, and Insurance payments are required by the borrower.

Here are some of the benefits of using a Reverse mortgage to buy a home

• Much easier to qualify for that a conventional mortgage
• Mortgage rates in the 2’s
• Move closer to family
• Buy a newer more efficient home
• Buy a home in a more desirable neighborhood
• Downsize to a more manageable home
• Keep some cash to live on with the sell of your home