Hi Cheryl,

Reverse mortgages do not have “LTVs” for which you apply.  You receive a benefit or loan amount that you can take in several ways based on the property value or the HUD lending limit, whichever is less, your age, and interest rates in effect at the time.  All the information is fed into the reverse mortgage calculator, and a predetermined calculation determines your benefit. 

The property can have a loan on it or be paid in full. Still, if there are outstanding loans, they must be paid in full with the reverse mortgage loan. If the loan you are eligible for is insufficient to pay the existing loans in full, you must have enough funds to pay them off with other funds available to you, or the loan cannot be closed.

The loan requirements are somewhat different, but you still must have overall sound credit and enough income to be able to pay your property and debt obligations after the loan closes.    Depending on your family size, you must have varying amounts of money left after paying debts and property charges to qualify. Underwriters use a “residual income” method to make this determination to approve the loan. 

To determine your benefit (loan amount), you can go onto our website and answer a few questions, nothing personal, and the calculator will tell you how much money you would receive and how you could receive it (lump sum, line of credit, monthly payment, etc.).  If that all works for you and you want to see about income and credit, we can also help you.