is a reverse mortgage right for you?
TRANSCRIPT
Is a Reverse Mortgage Right For You?
Nestor Gasset &Katerina Gasset
International Properties and Investments LLC
The most important part of the Reverse Mortgage process is before you can shop for one you must be counseled about
the program.
Contact HUD.gov and search for " Find an HECM Housing Counselor".
You can also find more information about reverse mortgages by going to: reversemortgage.org
You can use your reverse mortgage on your current home to buy another home. This helps you when you want to
buy another home closer to your kids.
You need to have about half of the new home purchase price in cash and the rest can be the reverse mortgage so
you won't have to carry a mortgage payment.
Some of the qualifications is that you need to be at least 62 years old and that the new home you buy must be your
primary residence - you have to live there at least 180 days out of the year.
You can see how much you qualify for at: mtgprofessor.com.
Your lender will tell you what your maximum payout will be which is partly based on your new home purchase price up to $625,000, your age, your spouse's age and the interest rate
on your loan.
The older you are and the less interest you pay- you can get more of a reverse mortgage.
If you take your payout all in one lump payment- the interest rate is now about 5%. But if you don't take it
all out you could be looking at an interest rate between 2.5% and 3%.
The fees you will need to pay at closing are your closing costs, your lender's origination fee and mortgage insurance
upfront premium which will be about 2.5% of the home's value. If you take less than the full amount, your premium
upfront will also be less.
You can roll some of these fees into your loan.
Outside of this and the fees you will continue to be responsible to pay property taxes and hazard insurance
and of course any HOA fees or Condo fees that pertain to your property.
When both you and your spouse die, the loan must be repaid. The amount that will have to be repaid is either the
mortgage balance or 95% of the appraised value of the property, whichever is lower.
The ways to handle this are; selling the house to pay the mortgage off, paying the house off outright or giving the
keys to the lender.
If you are looking for a home here in South Florida- St Lucie County, Martin County, Palm Beach County, Broward
County, Miami/Dade County... we have agents who know these areas very well and will help you find your second
home to be near your grown kids and your grandchildren and perhaps great grandchildren.
We have some wonderful active adult 55+ communities here in
South Florida.
Contact us today and we will match you with the best agent to help you! Contact
Nestor Gasset directly on his
mobile phone: 561-541-9936 to get started with your relocation to sunny
South Florida today.
Nestor Gasset & Katerina GassetRealtors®, REOS, CIPS, SFR, GRI, ABR
1021 Cherry Lane,Wellington, Fl, 33414
www.floridaipi.com