Below is the most common process for getting a Reverse Mortgage. Our Reverse Mortgage professionals are eager to help you understand the Reverse Mortgage process and the various program payment options. Please contact us with any questions.
Step 1 - Research Reverse Mortgages
Speak with a mortgage professional about the Reverse Mortgage Program options. Familiarize yourself with the various types of Reverse Mortgages and work with one of our Loan Officers to tailor the correct program with available funding options that makes the most sense for you.
Here are the HECM Reverse Mortgage Programs avaliable with different funding options:
Program selection is key with a HECM Reverse Mortgage. To maximize the benefit of a Reverse Mortgage for you, it is important to match the program and properly tailor its funding features to your financial needs and goals. This is how you win long term with a HECM Reverse Mortgage. To start, use our Reverse Mortgage Calculator to get an estimate of how much you might qualify for based on the age of youngest borrower and estimated home value.
Step 2 - Meet with a HUD approved counselor
In order to receive a Reverse Mortgage and before you can submit an application, you must meet with an HUD approved counselor and receive a certificate of completion for counseling. The counselor will help you understand what it means to have a Reverse Mortgage, and by design, will provide you independent guidance at their descretion as to how a Reverse Mortgage may or may not be a good fit for you. Our team will provide you a list of HUD Approved Couselors and help find a counselor in your area.
Step 3 - Fill out our Reverse Mortgage Application
After you have received a certificate of completion from the counseling agency and have determined which program best suits your needs, you are then ready to fill out our Reverse Mortgage application by clicking here. Your information will be securely transmitted to our server. Your Loan Officer will review your application and turn it over to our processing team.
Step 4 - Your application is processed and your home is appraised
Once your file is turned over to the processing team your Loan Officer will monitor the progress and follow up with you as needed to keep you informed. While your application is being processed, a licensed appraiser will determine the value of your home and if there are any required repairs. The need for repairs is not uncommon. A Reverse Mortgage commitment will allow for up to 15% of your home value, within your eligibility limit, as a "set aside" for any required repairs.
Step 5 - Your loan reaches Underwriting
The underwriting process determines your final eligibilty for a Reverse Mortgage. All details on the basis of eligible borrowers and properties are worked out in underwriting. Any required property repairs will be outlined by the appraiser and addressed by the underwriter as part of this process. It is customary for repairs to be escrowed from your closing proceeds so you do not have to make the repairs prior to closing. The final decision regarding any repairs and how they are handled will be made by the underwriter. The Loan Underwriter will issue the final disposition on your loan application. Your loan may be approved, approved with conditions, or denied for a specific reason. Your Loan Officer will stay on top of this process so we can efficiently move you to loan closing.
Step 6 - Your loan reaches the Closing Department
Once your loan has been fully approved, your loan will enter the closing department. This is where your selected loan program and funding option, along with the terms of your loan approval, are entered into the formal loan documents in preparation for transmittal to the title company for formal closing.
Step 7 - Formal Loan Closing
A closing appointment will then be scheduled so you can review the terms of your new Reverse Mortgage with the closing attorney and sign the paperwork. Now you have successfully completed the process of obtaining a Reverse Mortgage. After closing you'll have three business days in which to rescind the loan if you are not completely satisfied. Once that grace period is up, you will receive the proceeds of your Reverse Mortgage based on the funding option you previously selected at the beginning of the process. The Standard Fixed Rate option is defined at closing but the multiple funding options on the Reverse Mortgage Adjustible Rate and Flexible Fixed Hybrid programs, as outlined above in step 1, can be changed with your loan servicer at any time.
Step 8 - Maintain and Enjoy the Comfort and Security of your new Reverse Mortgage.
Relax and enjoy the plan you have established with the addition of a Reverse Mortgage. You are not responsible for making any mortgage payments and you are still the owner of your home. Maintance requirements of a Federally Insured Reverse Mortgage are as follows.
Your Reverse Mortgage loan only becomes due under the following circumstances.
In summary, as you can see here in step 8, maintaining your eligiblity for a Reverse Mortgage is very basic. It is your home and it is time for you to enjoy your retirement. If you are 62 or older and own your home, you might be eligible for a reverse mortgage. Contact your Reverse Mortgage Specialist to discuss your scenario and learn more about the benefits of a Reverse Mortgage. We are your Reverse Mortgage Specialists, helping those in Virginia, Maryland, Florida and Pennsylvania with Reverse Mortgages and leading them to a more sound and secure retirement.