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Does the lender in a reverse mortgage have the right to access a borrower's occupied home? The home is properly maintained, and the taxes and insurance are current.
By Donna S. on 01.09.2020Hello Donna,
Most loan agreements, including reverse mortgages, allow the lender to inspect the property under reasonable circumstances with proper notice.
Your loan documents, specifically the deed of trust, include the following provision:
Inspection Clause: The lender or its agent may enter, inspect, or appraise the property in a reasonable manner and at reasonable times, provided they give the borrower prior notice stating a purpose related to the lender’s interest in the property. If the property is vacant, abandoned, or the loan is in default, the lender may take reasonable action to protect and preserve the property without notifying the borrower.
The lender's authority is limited to what is outlined in your loan documents. According to this provision, they can only enter the property after giving reasonable notice and must specify the reason for the inspection.
If you are unsure why they need access, you have the right to ask for clarification and schedule a time that works for you—as long as the request is not an attempt to delay a valid inspection.
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