'Heirs & Loan Maturity' Category Archives

What to Expect When Your Reverse Mortgage is Assigned to HUD

June 7, 2024     97 comments

We received a notice that our reverse mortgage loan is being assigned to HUD, along with the name of the handling company.  This company has numerous complaints, especially about foreclosing before heirs can settle the home.  I am the beneficiary of my mom's house, which is in a trust and a will to avoid probate.  What recourse do I have...
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6-Step Guide to Handling Reverse Mortgage Heirs & Estate Affairs

March 11, 2024     88 comments

Inheriting a property is a significant responsibility, especially when it comes with a reverse mortgage attached.  If you find yourself as the heir to a borrower who has passed away, you may feel overwhelmed by the financial and legal complexities that follow. This article will guide you through the steps we recommend following to navigate this situation.  Whether you're considering...
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Reverse Mortgage After Death: What Heirs & Family Must Know.

January 27, 2024     278 comments

It seems that one of the most popular questions we get is: What happens with my reverse mortgage and my home after death? When considering a reverse mortgage, an important question many borrowers and their heirs face is what happens to the reverse mortgage and the family home after the borrower's death.  This concern is particularly significant given that reverse...
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5 Ways To Lose Your Home With a Reverse Mortgage

January 22, 2024     31 comments

With a Federal Housing Administration-insured Home Equity Conversion Mortgage (HECM), the borrower retains ownership of the property while continuing to live there throughout the loan.  They are not required to make monthly mortgage payments during that time. Reverse mortgages are often misunderstood, and a common misperception is the idea that in a reverse mortgage, "the bank takes the home." On...
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How to Buy Reverse Mortgage Property at a Foreclosure Auction

October 5, 2023     no comments

I am a Professional Real Estate Investor in Florida. I purchase a lot of properties at the foreclosure auction at the clerk of the courts. My questions are: 1. Is there a way to find out what is owed on a reverse mortgage on a property going to the auction? 2. Is there a formula to calculate the maximum borrowed...
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How to Sell Your Home If You Have a Reverse Mortgage

September 26, 2023     120 comments

Can a reverse mortgage company request more than the seller asked for when selling a home with a reverse mortgage? [arlo_toc] This is a common concern among homeowners and heirs dealing with reverse mortgages.  The answer depends on the circumstances surrounding the sale.  In this article, we’ll break down scenarios like inheriting a home with a reverse mortgage, conducting a...
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Timeframe to Vacate Home After Reverse Mortgage

August 19, 2023     85 comments

Hello ARLO, My father passed away in October 2018.  He had a live-in caretaker for several years.  I decided to sell the house in California, while the caretaker is occupying the home to keep the property safe and away from squatters and facilitate the viewing.  One offer from a buyer fell through, and the caretaker approached my agent wanting to...
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Facing a Reverse Mortgage Foreclosure? Here Are Your Options.

May 28, 2023     18 comments

Hello Arlo, My mother passed away a year ago. She had taken a reverse mortgage on her home. We later discovered that my mother had not been paying her property taxes, and her home had now been foreclosed. Will they auction the home off? And exactly where do the proceeds of the auction go? If the home sells in auction...
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Protecting Your Home from Reverse Mortgage Foreclosure Threat

May 10, 2023     2 comments

Dear ARLO, I just returned from the hospital, where my uncle was transported by his neighbor, thinking he was having a heart attack.  My uncle said he almost passed out after receiving a letter from his reverse mortgage lender threatening to foreclose. I was told he may be discharged tomorrow, but I need to quickly step in to help him,...
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How a Reverse Mortgage Deed in Lieu of Foreclosure Works

September 19, 2022     72 comments

My mom procured a reverse mortgage when property values were high. She can no longer live alone in the home and has vacated it; we cannot sell it because the home has devalued in accordance with the failed economy. The family is attempting to process, through an attorney, a Deed in Lieu of Foreclosure, but the loan has been transferred...
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