Category Archives: More Information
Cash-Out Refinance
A refinance transaction where the amount of money from the new loan is greater than the total of the money needed to repay the existing first mortgage, closing costs, points, and the amount required to satisfy any outstanding subordinate mortgage liens.
Reverse Mortgages and Long Term Care Insurance
Many people fear getting a reverse mortgage because it will tap into “the last reserve” they have – their home. This is a reasonable concern. If something goes wrong with the homeowner’s health, living in the home may not be an option. Moreover, if that homeowner is well into a reverse mortgage, and the majority of the equity has already been accessed, there can be a need to move into a smaller house or assisted living, and little cash to do it with.
Reverse Mortgage Calculator
A reverse mortgage calculator will show you how much cash you can get if you take out a reverse mortgage. The amount varies based on age, location (each county has a different 203-B limit), and house value/current payoff.
HECM Reverse Mortgage Statistics
The following is a list of each year and the corresponding HECM reverse mortgages for that year. The HECM or home equity conversion mortgage makes up about 90% of all reverse mortgages issued. HECM reverse mortgages are insured by the federal government through the Federal Housing Administration (FHA).
Reverse Mortgages and the Softening Housing Market
One question we have been asked is:
What happens to reverse mortgages as the United States housing market weakens.It is a good question.
There is no question the United States housing market is softening. Although prices may not yet be going down, and some markets remain relatively strong, as a whole the robust gains in real estate value across the country is over. Maybe not forever, but certainly for now.
