100+ Questions Answered

Examples

Introduction

  • What is a Reverse Mortgage?
  • What is a Home Equity Conversion Mortgage (HECM)?
  • What are the basic requirements to qualify for a HECM?
  • Do I repay a HECM?
  • Are proceeds from a HECM tax-free?

Basics

  • How do I Qualify for a HECM?
  • What does Counseling involve?
  • What’s the Financial Assessment?
  • How do I show I have enough Capacity to meet my obligations?
  • How do I demonstrate my Willingness to meet my obligations?

Improved Practices and Suitability

  • Why all the “Bad Press” for Reverse Mortgages?
  • When should I not take a HECM?
  • Should I be careful about other products being cross-sold to me?
  • Should I involve my children in this process?

Strategies and Usage

  • What are the best HECM financial strategies?
  • Should I sell my home or take out a HECM?
  • What alternatives should I consider before taking a reverse mortgage to access my home equity?

Product Features and Costs

  • What HECM products are available?
  • What pricing options are available?
  • How are HECMs priced to the consumer?
  • What’s the difference between a HECM and a home equity loan?
  • How are my partial prepayments applied to my loan balance?

Borrower Protections and Obligations

  • Can anyone reduce the amount of Principal Limit I have in the future?
  • Can I ever be liable for more than the value of my home?
  • If there is any equity in the home above what is owed on the HECM or other liens, is it mine or my heirs?
  • If I take out a HECM, does the lender or bank own my home?
  • After I get the HECM, what are my financial obligations?

Post Loan Closing Servicing, Defaults, and Remedies

  • How soon after loan closing do I have to complete repairs?
  • What constitutes a HECM Default?
  • What happens if one of us dies?
  • What happens if I default on my property taxes or insurance?
  • If, after 24 months, I can’t repay delinquent taxes/insurance what happens?

Would you like to learn more?

The “Knowledge Base” has the answers to over 300+ questions you may have on the HECM product.

If you would like to know how much you potentially qualify for, and whether you possibly have adequate monthly cash flow, go to the HECM WIZARD and input your information.

If you would like to reach out and talk with me, fill out the information on Contact Me or email at St.John.Bannon@JMGroup.com