If my spouse passes away or moves to a elderly care facility, what will happen with my reverse mortgage loan? Answer: It depends on whether or not you as well as your spouse are co-borrowers on the Corvallis reverse mortgage loan, and when the mortgage loan was applied for. The vast majority of reverse mortgages that home owners apply for are generally Home Equity Conversion Mortgages (HECMs). The Federal Housing Administration (FHA), a part of the Department of Housing and Urban Development (HUD), insures HECMs. Within the rules governing HECMs, if you reside with a spouse, it is a good idea to make your spouse a co-borrower whenever you apply…

How is a reverse mortgage different from obtaining a a traditional mortgage? A conventional mortgage is used to purchase or refinance a property. The mortgage provider lends you the cash to buy or refinance the home. In exchange, you promise to repay the lender the money you financed, along with interest, over a number of years. A reverse mortgage is generally used to get cash out of your property. Instead of borrowing to buy a home, you are borrowing against a house you currently own. This allows you to make use of the cash now for expenses, and repay the mortgage after you die or sell the home. Reverse mortgages…

What exactly is the difference between a mortgage broker and a servicer? Answer: Your mortgage broker would be the financial institution that loaned the money. Your mortgage servicer will be the firm that sends you your reverse mortgage statements. Your servicer also deals with the day-to-day tasks for handling your loan. The loan servicer generally processes your loan payments, handles borrower inquiries, tracks principal and interest paid, manages your escrow account (if you have one). The loan servicer may possibly commence foreclosure under certain circumstances. Your servicer might be the very same company that actually gave you the loan. TIP: To determine who your servicer is, examine your monthly mortgage…

What happens should I have to move out of my home into a nursing home, or even to stay with family, and I have a reverse mortgage? Answer: For people who have a reverse mortgage and you no longer live in your Corvallis Oregon home for the majority of the year, or if you will need to move out of your house for medical-related reasons for in excess of 12 sequential months, you may need to repay the reverse mortgage loan, which could require selling your home in Corvallis OR Most reverse mortgages funded in Corvallis are Property Equity Conversion Mortgages (HECMs). The Federal Housing Administration (FHA), a part of…

If I sign up for a reverse mortgage loan, does the mortgage provider own my house? Answer: No. When you take out a reverse house loan, the title to your house stays with you. In the event you move out, sell your home, or the last surviving borrower or eligible non-borrowing spouse passes away, you or your estate will have to pay off the HECM mortgage, but you’ll never have to pay above the value of the house. The reverse mortgage loan balance will include the total amount you have received in cash, plus the interest and fees that were added to the loan balance each month. To repay the…

How much could I gain access to with a reverse mortgage, and what are my payment options if I live in Corvallis Oregon? Answer: This is dependent upon on the type of home loan, the mortgage company you choose, and also the payment option that you choose. The majority reverse mortgages today are Home Equity Conversion Mortgages (HECMs). The Federal Housing Administration (FHA), a part of the Department of Housing and Urban Development (HUD), insures HECMs. With a HECM reverse mortgage, you could get your money in one of three ways: as a credit line, in monthly installments, or a one time payment. You can also get a combination of…

Are there any restrictions to the upfront charges a lender may charge to get a reverse mortgage? Answer: A good number of reverse mortgages today are insured by the Federal Housing Administration (FHA), in its Home Equity Conversion Mortgage (HECM) program. The specific costs listed below are for HECM mortgage loans. In addition to HECM reverse mortgages, some Corvallis OR mortgage companies could possibly have what are identified as proprietary reverse mortgages or ones that are not insured by the FHA, which might have different fees. This is a list of common fees that mortgage lenders in Corvallis charge at the outset of a mortgage loan. The Upfront Mortgage Insurance…

Do I still have to pay my property taxes and homeowner’s insurance with a reverse mortgage loan? What about the costs of maintenance required to maintain my property? Answer: Yes. When you don’t pay your homeowner’s insurance and real estate taxes, or get necessary repairs, you can actually lose your home to foreclosure. Most reverse mortgages are Home Equity Conversion Mortgages (HECMs). The Federal Housing Administration (FHA), a part of the Department of Housing and Urban Development (HUD), insures HECMs. With a HECM, in the event you do not pay your insurance premiums and real estate taxes, or you let the shape of your home to deteriorate while not doing…

What do I need to discuss with my HECM housing counselor if I’m looking at getting a reverse mortgage? The following are some things you might want to discuss with a housing counselor: How does a reverse mortgage loan work? Will it be more effective for you to get the money as a line of credit, in monthly installments, or in a lump sum? Based upon on which of these three standard options you decide on, you may be qualified for an adjustable rate or a fixed interest rate. Which will work better for you? What expenses are you going to need to pay at the start, before you will…

Are there different types of reverse mortgages available in Oregon? Yes. The majority of reverse mortgages these days are insured by the Federal Housing Administration (FHA), as part of its Home Equity Conversion Mortgage (HECM) program. If you apply for a HECM mortgage in Corvallis, you’ll be able to choose between the following choices: Payment of home loan funds. You could get money as a line of credit, monthly installment, a combination of these, or a single payment. Interest rate. You may choose between a fixed rate and an adjustable rate. Fixed interest rates are only available with the one time payment option. The reverse mortgage program also offers two…