Using a reverse mortgage to purchase a home

Maybe you have heard of reverse mortgages. They are not a scam but there are reverse mortgage scams.The youngest borrower in the household must be at least 62 and the homeowners must have a lot of equity.

The reverse mortgage is exactly as it sounds. Instead of making a house payment every month the mortgage company sends the homeowners a check. There are no mortgage payments. The mortgage is due when the home is sold or when the owners die.

The reverse mortgage is a way to unlock the equity that might be tied up in real estate.

Reverse mortgages can also be used to purchase a home. They do require a down payment and the youngest borrower must be at least 62. The borrows must have a lot of equity or own the home outright and have good credit ratings. On loans for purchases, buyers must have the resources to pay property taxes, homeowners insurance, and association dues if applicable.

Reverse mortgages can also be used for home improvements. Sometimes people want to stay in their home and age in place but the home needs some upgrades to make it more senior friendly.

Talk to your bank or lender if you are interested in any of these programs and learn more. There is also counseling for people who choose a reverse mortgage. For more general information visit the web site and read about reverse mortgages.

SRES Designation – Senior Specialist

I had a little spare time this December and decided to use it wisely. I took some classes and passed the test and got the “Senior Real Estate Specialist” designation (SRES), through the National Association of Realtors.

I have worked with many older home buyers and sellers over the years, including my own parents who bought their last home when they were almost 80 years old.

Moving isn’t easy and it can be especially hard for those who have lived in the same house for a lifetime. There is a process that has changed over the years and a transition that has to be planned for. Through the SRES courses, I got access to resources and ideas that I can use to better support older home buyers and sellers.

When my parents had to move (they were unable to plan ahead)  I took take care of everything and I learned a lot in the process and I have been able to share that experience and what I learned in the classes with my clients and their families.

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Senior Real Estate Specialist