Mortgage Blog

HECM for Purchase - Buy a Home and get a Reverse Mortgage in one transaction

August 11th, 2014 | HECM Reverse Mortgage, HECM for Purchase, HECM to Purchase, Retirement Planning, Reverse Mortgage, Reverse to Purchase Mortgage, Retirement income insecurity

Achieve diversification, increased liquidity, and financial peace of mind by using a HECM for Purchase to buy a new primary residence.

Instead of solely focusing on downsizing as we age why don’t we expand on this thought and make it a financial strategic transaction as well. Many people, as they retire, think that buying a home with all cash is the safest and possibly only answer. This may limit your ability to buy the home that is the best fit for you. It may be a better option to utilize a HECM for Purchase so you don’t have a large percentage of your cash tied up in your home. It’s all about not putting the majority of your eggs in one basket. Diversification, when considering downsizing or a lateral move with a new home, is a financially sound and tested strategy that should be used for all those eligible over the age of 62.

By keeping a mindful eye on diversification, you create increased liquidity. This is very important because it not only provides a safety net but it also gives you options. You are now positioned with more funds at your disposal and the increased cash flow from not having to make a monthly principal and interest payment to your mortgage lender adds to the equation. Conversely, if you have limited liquidity you are not in a good position to take advantage of opportunities or respond quickly in the event of a critical need. Liquidity directly points to added peace of mind.

The first thing that comes to mind when I think of liquidity is financial security. We all, regardless of how much money we have, will worry if we have enough. There is a pervasive fear embedded within us all that we may outlive our resources. This is something that may never go away but that can be dealt with constructively. A HECM for Purchase will help you in this regard and achieve peace of mind.

Consider a HECM for Purchase as a planning tool when you buy your next home. Achieve diversification, increased liquidity, and a more financially sound lifestyle. You must be at least 62 years old and have a suitable property that meets FHA guidelines to be eligible for a government insured HECM for Purchase or HECM Reverse Mortgage.  To learn more about a HECM for Purchase, click here.


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George H. Omilan


NMLS# 873983

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Jefferson Mortgage Group LLC

2536 Leeds Rd.
Oakton, Virginia 22124
FAX: 703-773-6946
NMLS: 935554

Located in Fairfax County, Virginia. Serving all of Virginia, Maryland, DC & Pennsylvania. 


Jefferson Mortgage Group LLC is licensed in Virginia, Maryland, DC & Pennslvania.
Virginia State Corporation Commission License Number MC-5659 and the Pennsylvania Department of Banking & Securities #46259 
The DC Department of Insurance, Securities, and Banking License #MLB935554
Maryland DLLR License #21586

An Equal Housing Lender

By refinancing the consumer's existing loan, the consumer's total finance charges may be higher over the life of the loan.

This material is not from HUD or FHA and has not been approved by HUD or any government agency.