Unlock Your Equity in Retirement with a Reverse Mortgage Guide!
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Access your FREE Home Equity Conversion Mortgage Guide outlining details, process, frequently asked questions, and more!
Home Equity Conversion Mortgage (Also known as Reverse Mortgage)
can be used for..
Remodeling
Age In Place Improvements
Payoff Current Mortgage
Monthly Bills and Expenses
Healthcare
Travel
Eligibility & Requirements
Must Be 62 or Older
Must Be Primary Home
Attend HECM Counseling
Maintain Home
Must Pay Property Tax & Insurance
Pay off Existing Mortgage, if there is one
What are the Benefits of a HECM?
- SECURITY- Government insured loan
- HOME OWNERSHIP- You maintain the exclusive title to your home, just as you do now.
- AVAILABILITY- Generally, reduced income and credit score requirements.
- PREDICTABILITY- Repayment obligation is limited to the value of your home. You or your heirs will NEVER owe more than the home itself.
- EQUITY GROWTH- You or your heirs receive any remaining equity once the loan is repaid.
What is the Process of a HECM?
- Initial consultation to determine if it makes sense
- Complete the Mortgage Application
- Speak with a HUD Approved Counselor to make sure you understand the mortgage
- Home Appraisal
- Loan Processing and Underwriting Loan
- Closing to receive money or open line of credit
*Credit will only be pulled once you decide to move forward with the quote. All rate quotes are estimates only and cannot be finalized until an application is completed and a credit pull is authorized by applicant. This is not an offer to lend. Rates and terms vary depending on eligibility. Final approval subject to review of information.
How Does It Work?
- For a Refinance the amount you receive is determined by:
- Current interest rate
- Age of the youngest borrower or spouse
- Appraised value of your home
- A lower existing mortgage balance means you can expect to receive more money from a reverse mortgage.
How Do You Receive Your Funds?
- You can receive your funds in the following ways:
- Lump sum
- Fixed monthly payments
- Line of creditto draw upon as needed
- Combinationof these options
- No out-of-pocket costs: Closing costs are deducted from the loan proceeds.
- After paying off existing mortgages and liens, you are free to use the proceeds however you want.
- Unused funds in a line of creditwill continue to grow over time.
When Does the Loan Come Due?
- At the sale of the home, last borrower passes away, or last borrower permanently leaves the Home (12 consecutive months of non-residence)
- There are protections for under age 62 spouses (Considered a non-borrowing Spouse)
- In the event of foreclosure, which only happens if insurance and property taxes are not paid just like a regular mortgage.
How Do You Receive Your Funds?
- You can receive your funds in the following ways:
- Lump sum
- Fixed monthly payments
- Line of creditto draw upon as needed
- Combinationof these options
- No out-of-pocket costs: Closing costs are deducted from the loan proceeds.
- After paying off existing mortgages and liens, you are free to use the proceeds however you want.
- Unused funds in a line of creditwill continue to grow over time.
Transform Your Home Equity into Financial Flexibility!
© PMF, Inc. | NMLS# 1980
Licensed in Florida
Mortgage Broker only, not a Mortgage Lender or Mortgage Correspondent Lender
All loan approvals are conditional, not guaranteed, and subject to lender review of all information. A loan is conditionally approved when the lender has issued an approval in writing, but until all conditions are met, a loan cannot be funded. Specified rates may not be available for all borrowers. Rate subject to change with market conditions. Pioneer Mortgage Funding, Inc is an Equal Opportunity Mortgage Broker headquartered in Tampa, Florida. This licensee is performing acts for which a mortgage broker license is required. PMF, Inc is licensed by the Florida Office of Financial Regulation, NMLS# 1980. Pioneer Mortgage Funding, Inc. is approved to originate Conventional, FHA, VA, and USDA loans, and has the ability to broker such loans to Conventional, FHA, VA, and USDA approved lenders. Pioneer Mortgage Funding, Inc. is not acting on behalf of or at the direction of HUD/FHA or the VA.
