REVERSE MORTGAGE OVERVIEW

What is a Reverse Mortgage?
Available Reverse Mortgage Choices
Borrowers Qualifications & Criteria
Use of your Equity's Proceeds
Eligible Properties
Reverse Mortgage Fees
Is Counseling Required?
How do I get more Information?


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WHAT IS A REVERSE MORTGAGE?

• A Reverse Mortgage is simply a mortgage loan that affords seniors, 62 or older the benefit of using equity accumulated in their home to provide monthly payments, receive a lump sum payment or a line of credit. The funds you receive are tax free, but we always recommend you consult your tax advisor.

• The funds available are based upon age and home value.

REVERSE MORTGAGE CHOICES AVAILABLE:

• Home Equity Conversion Mortgages (HECM) are presently available with fixed rate and adjustable rate options.

• All HECM's are HUD loans, insured by the FHA.

QUALIFICATIONS AND CRITERIA FOR THE BORROWER:

• Must be 62 or older.

• Borrower retains ownership of their home.

• No income, health or credit qualifications.

• Make No Monthly payments.

• Home must be borrower's primary residence.

• Loan is non-recourse, which means upon the passing of all borrowers the loan must be satisfied, however your heirs do not incur the debt even if the home is valued less than the loan amount.

USE OF THE PROCEEDS OF YOUR EQUITY:

• Unrestricted.

• Examples: The money can be used for medical care, long term health care insurance, repay debt, home repair, pay property taxes, daily living expenses, grandchildren's education, purchase annuities or life insurance, travel, give as gifts or buy that second home, boat or car you have always wanted.

ELIGIBLE PROPERTIES:

• The refinance or purchase of single family residences, 2-4 family homes, so long as one of the units is the borrower's primary residence, condos and many manufactured homes.

FEES TO OBTAIN A REVERSE MORTGAGE:

• Closing costs and fees normally associated with a regular mortgage.

• No application fee, no processing fee, no junk fees.

IS COUNSELING REQUIRED?

• Yes. To safeguard the borrower and the lender a third party non-biased, HUD approved counselors are required to counsel the borrower before an application can be issued. This can be done by phone or in person.

HOW DO I GET MORE INFORMATION?

• Review the rest of our Reverse Mortgage web page, call us at 1-800-525-9940,Fax us at 631-758-9201 or E-mail us at info@choicehomemortgage.com