What about repaying Reverse Mortgage?

The very nature of a reverse mortgage can be confusing. With a reverse mortgage, lenders provide loan funds as a line of credit or as a combination of a line of credit and monthly installments. The following lists provide information regarding repayment of a reverse mortgage.

A reverse mortgage comes due when under the following conditions:

  • Death of the homeowner
  • Upon sale of the home by the homeowner
  • If the homeowner lives elsewhere for 12 consecutive months (i.e. assisted living home)

When the reverse mortgage becomes due there are two options for paying it off.

  1. Proceeds from the sale of the home
  2. The heirs of the homeowner can refinance the loan

Like all loans a reverse mortgage does carry conditions in order to remain valid. Below is a list of reasons for which a borrower would find themselves in default.

Repaying a Reverse Mortgage

  • Failure to pay property taxes
  • Failure to keep the home in good repair
  • Failure to insure the home
  • Taking of new debt on the home
  • Bankruptcy
  • Abandonment or donation of the home
  • Eminent domain

To apply for your reverse mortgage click here.

 

DISCLAIMER:  These materials are not from HUD or FHA and were not approved by HUD or a government agency.

Kings Mortgage Services Inc.

Licensed by the Department of Business Oversight under the California Residential Mortgage Lending Act - NMLS 264441

Thank you for your interest in our company. Please select from any of the following ways to contact us.

 

HANFORD
1507 N. 11th Ave.
Hanford, CA 93230
Phone: 559-585-7400
Fax: 559-585-7404
VISALIA
3700 W Mineral King
Visalia CA 93291
Phone: 559-713-1064
Fax: 559-713-1065
SELMA
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Selma, CA, 93662
Phone: 559-318-9931
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Arroyo Grande, CA 93420
Phone: 805-904-6991
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CORPORATE OFFICE
4244 W. Mineral King Avenue
Visalia, California 93291
Phone: 559-713-1200
Fax: 559-713-1275