Refinancing Your Reverse Mortgage in 2021: Lower Rates, More Money.

October 12, 2021     122 comments

Is a reverse mortgage refinance right for you?  There are many instances when borrowers consider a reverse mortgage refinance with a new reverse mortgage. Refinancing existing loans does make sense at times, and sometimes it does not. Borrower(s) should only consider refinancing their loan when it makes sense for their individual circumstances. Some homeowners will find that they may meet some or all of the conditions listed below, but don’t need additional funds. In those cases, a refinance is not warranted. For them, even though they qualify for additional funds, it... Read Full Article

AIG Reverse Mortgage Problems – Please Help!

October 6, 2021     21 comments

I'm going through a company AIG reverse mortgage, however I was told to replace 2 wall furnaces first but I don't have the $2500.00 to get it done the company told me I'm responsible before we start the reverse mortgage, is this true? Please Help! Hi Lori, AIG would be correct in that HUD requires a permanent heat source in the home to be functioning in all but just a few zip codes in the United States in order to close a reverse mortgage. HOWEVER, no, it... Read Full Article

Bank of America Reverse Mortgage Review (2021 Update)

October 6, 2021     10 comments

Back in the early 2000s, much of the volume of reverse mortgages in the U.S. was attributed to big banks, including Bank of America. Today, that landscape has changed. Bank of America began in the reverse mortgage space with a small retail channel, before ramping up its operations through the acquisition of Seattle Mortgage reverse mortgage business in 2007. The company then grew as both a retail and wholesale lender, meaning it offered HECM loans through its retail branches, and closed loans that were originated by mortgage brokers... Read Full Article

Wells Fargo Reverse Mortgage Review (2021 Update)

October 6, 2021     18 comments

Many years ago, some of the biggest banks in the nation offered reverse mortgages. Among them, Wells Fargo was one of the largest lenders in the U.S. Home Equity Conversion Mortgage (HECM) market. Today that is no longer the case. Wells Fargo was at one time the largest reverse mortgage lender in the country. It was only a short time later that the company decided to close its reverse mortgage business, leading to an unexpected timeline of events: 2010: Wells Fargo reaches a staggering 25% market share 2011: Wells Fargo decides... Read Full Article

Financial Freedom Reverse Mortgage Review (2021 Update)

October 6, 2021     26 comments

At one time, there were quite a few major bank lenders offering reverse mortgages. In fact, in the early 2000s, the majority of reverse mortgage loans were closed by national banks. One of the large bank lenders was Financial Freedom, which most recently operated under the parent company CIT Group, and previously was owned by OneWest Bank and IndyMac. At its peak, the company originated more than 11,000 reverse mortgages annually and held the title of top wholesale lender. Summary: • Financial Freedom at one time was the largest... Read Full Article

Here’s the Real Truth About Reverse Mortgages (No BS)

October 1, 2021     15 comments

A recent comment from our reader: To whom it may concern: I have read so much reverse mortgage info. It sounds like it is not really to help you but for the bank to help themselves. It is designed to make you think they are helping you, but the truth is you are really giving away your home. You are selling it to them for a very low price. If you get the reverse loan in Dec. 2019 and die in Jan. 2020 you have lost your home, you... Read Full Article

Purchase 2-4 Units with a Reverse Mortgage for Lifetime Cashflow

September 30, 2021     12 comments

For retirees considering a move in their later years either to downsize or to be near family or friends, there’s a government insured loan available that allows them to take out a reverse mortgage and purchase up to 4 units in a  single transaction. The Home Equity Conversion Mortgage (HECM) for Purchase allows borrowers who are 62 or older to draw down on the equity in their homes over the course of the loan while purchasing a new home. Contrary to a “forward” or traditional mortgage where the loan... Read Full Article

What Happens When a Reverse Mortgage is Assigned to HUD

September 29, 2021     23 comments

We received a notice from reverse mortgage that the loan is being assigned to HUD they also gave the name of company that would be handling it. I looked company up and they have horrible complaints one main one being that the heirs do everything required to settle home and this company just foreclosures the house before they can do anything about it! I am beneficiary of my mom’s house she has the house in a trust and a will, I am beneficiary we put house in trust to avoid... Read Full Article

Can You Leave Home With a Reverse Mortgage? Expert Q&A’s

September 29, 2021     74 comments

Carol wrote: Regarding the rule that the homeowner has to reside in the home: how long could that homeowner be absent (e.g. on an extended vacation) before they would be considered not residing in the house. Would they be allowed to have someone else living in the house to care take? Carol, Hi and thank you for your questions. I am going to start with the second question as it is the simpler question to answer without reservations. The reverse mortgage does not prohibit a borrower from having anyone... Read Full Article

Skip the Reverse Mortgage Tenure and Go For Growth!

September 29, 2021     10 comments

If you’re thinking about taking out a reverse mortgage, it’s important to understand all of its unique features. Did you know that the federally-insured home equity conversion mortgage (HECM) program has a loan payment option that actually grows over time, thereby increasing your borrowing capacity? The HECM program allows homeowners aged 62 and older to access the home equity they've built up in the form of a non-recourse loan. As a borrower, you can spend your loan proceeds however you see fit, but you are required to stay current on... Read Full Article