Hillsboro OR Reverse Mortgage Loans - Reverse Mortgage Hillsboro

FHA Reverse Mortgages for Seniors in Hillsboro OR (HECMs)

To much month and not enough income? Feeling crushed by your mortgage payment? Wondering what the future has in store for you financially? Have you lost money in the market or any other financial loss? For a long time nobody in Hillsboro knew what a Reverse Mortgage was. Now, they are the talk of the town and popular as senior citizens are acquiring a home loan without a monthly mortgage payment and if there are proceeds acquired, they are tax-free. This fact is helping a large number of seniors deal with life right now!

However, Reverse Mortgages are generally specialized and require further explanation by a person with experience. My wish is to deliver in-depth facts, outlining the advantages and disadvantages with regards to each of the Reverse products, in order for everyone to decide if a reverse will be the right choice. If at all possible, a face to face meeting (no obligation) is ideal. You deserve the time spent. I can provide you with information by mail or email. Yet again I stress, it is best comprehended face to face. Your home is normally your biggest asset so I take this to heart when I educate you.

Reverse Mortgages are great for a number of people in Hillsboro, but they are in no way for everyone.

Is it a right choice for you? Call me right now and let’s see if it is! We can meet whenever and wherever you want (my office, your home, for your convenience). Virtually all details I’m able to supply you with over the phone, mail, UPS, or E mail. And, once again, there certainly is no obligation, even if we have a face-to-face meeting!

If you are a homeowner age 62 or older and have paid off your mortgage or paid down a large amount, and are currently residing in the home, you may take part in FHA’s Home Equity Conversion Mortgage (HECM) program. The HECM is FHA’s reverse mortgage loan program in Hillsboro makes it possible to take out a percentage of your home’s equity.

It’s also possible to utilize a HECM to buy a principal residence if you’re able to use funds on hand to cover the difference between the HECM proceeds and the sales price in addition to closing costs for the residence you are purchasing.

Here’s How The Reverse Mortgage Works in Hillsboro

There are many things to consider before deciding whether a HECM fits your needs. To assist in this process, you must speak with a HECM counselor to go over program eligibility standards, financial consequences and other possibilities to getting a HECM and repaying the mortgage loan. Counselors will also discuss provisions for the mortgage becoming due and payable. Upon the completion of HECM counseling, you should be capable of making a completely independent, knowledgeable determination of whether the reverse will meet your particular needs. You can search on-line for a reverse mortgage counselor or call (800) 569-4287 toll-free.

There are homeowner and real estate eligibility guidelines that must be met. You may use the listings below to determine if you meet the criteria. Should you meet the eligibility criteria, you can complete a reverse mortgage application by contacting a FHA-approved financial institution in Hillsboro OR. You can look online for a FHA accredited lender or you can ask the HECM counselor to provide you with a list for someone in Hillsboro. The loan provider will talk about other guidelines of the HECM program, including 1st year payment limitations, various payment options, the reverse loan approval process, and repayment terms.

Hillsboro Borrower Requirements To Qualify and Apply For A Reverse Mortgage Loan

You must:

Be 62 years old or older
Own the home outright or paid down a large amount
Occupy the house as your primary residence
Not be delinquent on any federal debt
Have financial resources to continue to make timely payment of recurring property charges for example property taxes, insurance coverage and Homeowner Association fees, etc.
Take part in a consumer information session delivered by a HUD approved HECM counselor

Hillsboro Reverse Home Loan Property Requirements

The following eligible property types in Hillsboro must fulfill all FHA property standards and flood requirements:

Single family home or 2-4 unit home with one unit occupied by the homeowner
HUD approved condo project
Manufactured home that meets FHA specifications

Hillsboro ORFinancial Requirements To Get A Reverse Mortgage

Income, assets, monthly living expenses, and credit ratings will be verified.
Timely payment of real estate taxes, hazard and flood insurance charges will be verified

For adjustable interest rate mortgages, you are able to choose one of the following payment programs:

Tenure – equal monthly payments provided that at least one borrower lives and continues to occupy the property as a principal residence.
Term – equal monthly payments for a fixed period of months selected.
Line of Credit – unscheduled payments or in installments, at times and in an amount of your choice until the line of credit is exhausted.
Modified Tenure – combination of line of credit and scheduled monthly payments for as long as you continue to live in the home.
Modified Term – combination of line of credit plus monthly payments for a fixed period of months selected by the borrower.

For fixed rate mortgages, you will receive the Single Disbursement One time payment plan.

Reverse Mortgage Loan Amounts in Hillsboro Oregon Are Based On

The amount you may borrow depends on:

Age of the youngest borrower or eligible non-borrowing spouse
Current interest rate; and
Lesser of:
appraised value; the HECM FHA mortgage limit of $679,650; or the sales price (only applicable to HECM for Purchase)

If there is more than one borrower and no eligible non-borrowing spouse, the age of the youngest borrower is used to find out the amount of money you are able to borrow.

Expenses of A HECM in Hillsboro Oregon

You can pay for most of the expenses of a HECM by financing them and having them paid out from the proceeds of the loan. Financing the costs means you don’t have to pay for them out of your pocket. On the other hand, financing the fees lowers the net loan amount available to you.

The HECM loan in Hillsboro involves a number of charges and fees, which include: 1) mortgage insurance premiums (initial and annual) 2) 3rd party charges 3) origination fee 4) interest and 5) servicing fees. The mortgage lender will discuss which fees and charges are required.

You’ll be charged an initial mortgage insurance premium (MIP) at closing. The initial MIP will be 2% of the max claim amount. Over the life of the home loan, you’ll be charged an annual MIP that equals 0.5% of the outstanding home loan balance.

Mortgage Insurance Premium
You will incur an expense for FHA mortgage insurance. The mortgage insurance guarantees that you’re going to are given expected loan advances. You may finance the mortgage insurance premium (MIP) as part of your loan.

Third Party Charges
Closing costs from 3rd parties may include an appraisal, title search and insurance, surveys, inspections, recording fees, mortgage taxes, credit checks in addition to other fees.

Origination Fee
You will pay an origination fee to pay the lender for processing your HECM home loan. A loan provider may charge the higher of $2,500 or 2% of the first $200,000 of your home’s value plus 1% of the amount over $200,000. HECM origination fees are capped at $6,000.

Servicing Fee
Lenders or their loan officers in Hillsboro provide servicing during the entire duration of the HECM. Servicing includes mailing you account statements, disbursing loan funds and ensuring that you stay up with loan guidelines including paying property taxes and homeowner insurance premium. Loan companies may charge a monthly servicing fee of no more than $30 if the loan has an annually adjusting interest rate or has a fixed rate. The lender may charge a monthly servicing fee of no greater than $35 if the interest rate adjusts monthly. At loan closing, the lender sets aside the servicing fee and deducts the charge from your funds available. Each month the monthly servicing fee is added to the loan balance. Lenders can also elect to include the servicing fee in the HECM interest rate.

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