First, you need to have a clear idea about the meaning of the reverse mortgage program, which is a government-approved loan program that permits the home owners to exchange a portion of the home equity for cash payment.
There a few basic requirements to qualify for a reverse mortgage:
- You and your spouse must be at least 62 years of age.
- Your home must have enough equity to consolidate all existing mortgages.
- Your primary residence must be FHA-approved such as a single family home.
Loan Amount is Based On
- Youngest borrower’s age
- Current interest rate
- Lesser of appraised value or the FHA insurance limit
- Eliminates monthly mortgage payments
- Increases your purchase power
- Preserves your cash
Reverse Mortgage For Purchase