HECM For Purchase


A HECM For Purchase, also known as a home equity conversion mortgage, is a fantastic way to earn extra income and purchase a new home.

Although reverse mortgages are usually used to help you stay in your existing home, you can also use a reverse mortgage to purchase a new home. At Z Reverse Mortgage, we can help you take advantage of this great program that will enable you to move into a new home and avoid having to pay mortgage payments.

There are many reasons why people purchase a new home using a reverse mortgage. This program may be perfect for you if you want to:

  • Move to a smaller home
  • Move to a home that better suits your physical needs
  • Be closer to family
  • Relocate to a warmer climate
  • Rent out your existing home for additional income

Whatever the reason, using a reverse mortgage to purchase a new home will help you preserve your cash reserves, and you’ll never have to pay mortgage payments.

How HECM For Purchase Works:

Here are two examples of how HECM For Purchase works.

The Hartleys are interested in moving to New Mexico, and they found a home there for $300,000. The Hartleys are both 65 years old and qualify for a reverse mortgage of $162,600. They only need to make a cash purchase of $137,400 to move into their new home, and they can now rent out their first home to supplement their income.

The Pommeroys want to move into a smaller home in a neighboring town in Illinois. They found a one-floor home that is easier to maintain and moves them closer to their grandchildren. The home is selling for $200,000. Both of them are 70 years old and qualify for a reverse mortgage worth $115,200. They can move into their new home after a cash payment of only $84,800.

Using a reverse mortgage to purchase your home, you will be able to reduce the cost by 50% or more; however, your cash contribution must come from your own savings or a gift. You will not be able to take out a loan to pay your contribution. Although you will have no mortgage payments, you must still pay maintain the home and pay insurance and taxes on it.

Are you interested in moving into a new home?
Do you want to preserve your savings and not have to pay any mortgage payments?

We will help you calculate how large a reverse mortgage you can receive and answer any questions you have about the process. We will match you with a certified lender that fits your needs, so you can move into your new home as soon as possible. Contact Z Reverse Mortgage today for trusted advise from a lending professional.