Keizer Oregon Reverse Mortgage Loans
FHA Reverse Mortgages for Seniors in Keizer Oregon (HECMs)
Are finances a little tight? Does your house payment take up to much of your income? Does your future retirement have you stressed out? Have you lost money in retirement or other investments? For a long time nobody in Keizer understood what a Reverse Mortgage was. Nowadays, they are the talk of the town and fashionable as senior citizens are acquiring a mortgage and no monthly payment and of course if there’s proceeds received, they are tax free. This fact is helping numerous seniors manage life right now!
Nevertheless, Reverse Mortgages are complicated . and will require an in depth explanation by a loan officer with experience. My goal is to present in-depth facts, explaining the advantages and disadvantages about all of the Reverse products, in order for each individual to determine if a reverse will be the right choice. Preferably, a face to face appointment (no obligation) is best. You deserve the time spent. I will give you information by mail or email. Yet again I stress, it’s best understood in person. Your home is in most cases your most significant investment and I take this to heart while I educate you.
Reverse Mortgages are good for a number of people in Keizer, but they are not for everybody.
This may or may not be the right choice for you. Give me a call and we can assess your situation and needs. I will meet you anywhere that you feel comfortable, within reason of course. Virtually all information I’m able to supply you with over the phone, mail, Fed Ex, or E mail. And, once again, there is no obligation, even if we have a face-to-face meeting!
If you’re a home-owner age 62 or older and have paid off your mortgage or paid down a large amount, and are also presently residing in your home, you may take part in FHA’s Home Equity Conversion Mortgage (HECM) program. The HECM is FHA’s reverse mortgage program in Keizer allows you to pull out a portion of your home’s equity.
You can also use a HECM to buy a primary residence if you’re able to utilize funds on hand to pay the difference between the HECM proceeds and the sales price as well as settlement costs for the home you will be purchasing.
Here’s How The Reverse Mortgage Works in Keizer
There are lots of considerations prior to deciding whether a HECM meets your requirements. To help with this process, you are required to consult HECM counselor to talk about program eligibility standards, financial repercussions and alternatives to getting a HECM and repaying the loan. Counselors will speak about circumstances for the mortgage becoming due and payable. Following the completion of HECM counseling, you should be able to make a completely independent, educated decision of whether the HECM will fulfill your specific needs. Search online for a HECM counselor or dial (800) 569-4287 toll free.
There are individual and residence eligibility requirements that must be satisfied. You may use the listings below to determine if you meet the requirements. Should you fulfill the eligibility conditions, you can complete a reverse mortgage application by contacting a FHA-approved loan provider in Keizer Oregon. You can search the internet for a FHA sanctioned mortgage provider or you can ask the HECM counselor to provide you a list for somebody in Keizer. The lender will discuss other requirements of the HECM program, including first year payment limitations, various payment options, the home loan approval process, and repayment terms.
Keizer Borrower Requirements To Qualify and Apply For A Reverse Mortgage Loan
You must:
- Be 62 years old or older
- Own your property in full or paid-down a considerable amount
- Occupy the home as your principal residence
- Not be delinquent on any federal debt
Have financial resources to continue to make timely payment of recurring property expenses such as real eOregon taxes, insurance and Homeowner Association fees, etc. - Take part in a consumer information session delivered by a HUD approved HECM counselor
Keizer Reverse Home Loan Property Requirements
The following eligible property types in Keizer must fulfill all FHA property standards and flood requirements:
- Single family home or 2-4 unit home with one unit occupied by the homeowner
- HUD approved condo project
- Manufactured home that meets FHA guidelines
Keizer OregonFinancial Requirements To Get A Reverse Mortgage
- Income, assets, monthly living expenses, and credit history shall be verified.
- Timely payment of real eOregon taxes, hazard and flood insurance charges will be verified
For adjustable rate mortgages, you are able to choose one of the following payment options:
Tenure – equal monthly payments provided that at least one borrower lives and will continue to occupy the property as a principal residence.
Term – equal monthly payments for a fixed period of months selected.
Line of Credit – unscheduled payments or in installments, at times and in an amount of your choosing until the line of credit is depleted.
Modified Tenure – combination of line of credit and scheduled monthly payments for as long as you remain in the home.
Modified Term – combination of line of credit plus monthly payments for a fixed period of months selected by the borrower.
For fixed interest rate mortgages, you will get the Single Disbursement Lump Sum payment plan.
Reverse Mortgage Loan Amounts in Keizer Oregon Are Based On
The amount you may borrow is determined by:
- Age of the youngest borrower or eligible non-borrowing spouse
- Current rate of interest; and
- Lesser of:
appraised value; the HECM FHA mortgage limit of $679,650; or the sales price (only applicable to HECM for Purchase)
Should there be more than one borrower and no eligible non-borrowing spouse, the age of the youngest borrower must be used to figure out the amount of money you are able to borrow.
Fees of A Reverse Mortgage in Keizer Oregon
You can pay for most of the fees of a HECM by financing them and having them paid from the proceeds of the loan. Financing the expenses means you don’t have to fund them out of your pocket. On the flip side, financing the fees decreases the net loan amount available to you.
The HECM loan in Keizer includes several charges and fees, which include: 1) mortgage insurance premiums (initial and annual) 2) third party charges 3) origination fee 4) interest and 5) servicing fees. The lender will talk about which fees and charges are required.
You will be charged an initial mortgage insurance premium (MIP) at closing. The initial MIP will be 2% of the max claim amount. Over the life span of the loan, you will be charged an annual MIP that equals 0.5% of the outstanding mortgage balance.
Mortgage Insurance Premium
You will incur an expense for FHA mortgage insurance. The mortgage insurance guarantees that you’re going to get expected loan advances. You may finance the mortgage insurance premium (MIP) into your loan.
Third Party Charges
Closing costs from third parties consist of an appraisal, title search and insurance, surveys, inspections, recording fees, mortgage taxes, credit checks as well as other fees.
Origination Fee
You will pay an origination fee to compensate the loan originator for handling your HECM loan. A loan provider may charge the greater of $2,500 or 2% of the first $200,000 of your home’s value plus 1% of the amount over $200,000. HECM origination fees are limited to $6,000.
Servicing Fee
Mortgage companies or their loan officers in Keizer provide servicing over the duration of the HECM. Servicing includes sending you account Oregonments, dispersing loan proceeds and ensuring that you satisfy loan conditions which includes paying property taxes and hazard insurance premium. Lenders may charge a regular monthly servicing fee of no more than $30 if the loan has an annually adjusting rate or has a fixed interest rate. The lender may charge a monthly servicing fee of a maximum of $35 if the interest rate adjusts monthly. At loan closing, the lender sets aside the servicing fee and deducts the fee from the funds available. Each month the monthly servicing fee is added to the loan balance. Mortgage companies may additionally choose to include the servicing fee in the mortgage loan interest rate.
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