How does the Idaho FHA Reverse Mortgage Loan Work?
The Idaho FHA Reverse Mortgage, also known as a HECM (Home Equity Conversion Mortgage), is a loan made to a person age 62 or older. There are no income, credit or health requirements associated with the loan. The amazing thing about the Idaho FHA Reverse Mortgage is that you can take out a lump sum payment (tax free) to yourself or you can have a monthly payment sent to you (tax free) every month or you can have a line of credit set up for when you need it. All of these things without having to make a monthly payment for the rest of the time you occupy the property as your primary residence for as long as you live.
So you are probably wondering how does the Idaho FHA Reverse Mortgage Loan Work? Below I have outlined the different payment options that are available to as a borrower to receive.
1. Tenure – equal monthly payments as long as at least one borrower lives and continues to occupy the property as a principal residence.
2. Term – equal monthly payments for a fixed period of months selected.
3. Line of Credit – unscheduled payments or in installments, at times and in an amount of your choosing until the line of credit is exhausted.
4. Modified Tenure – combination of line of credit plus scheduled monthly payments for as long as you remain in the home.
5. Modified Term – combination of line of credit plus monthly payments for a fixed period of months selected by the borrower.
Idaho FHA Reverse Mortgage HECM loans does not require any form of repayment as long as the home is your principle residence. Lenders recover their principal, plus interest, when the home is sold. The remaining value of the home goes to you or your heirs.
One of the great things about an Idaho FHA Reverse Mortgage Loan is that you can never owe more than your home’s value. If you sale your home and the proceeds are not enough to pay the amount that is owed, then FHA will pay the lender the amount that is owed. FHA collects an insurance premium at closing from all borrowers to provide this coverage.
The amount you can borrow depends on your age, the current interest rate, other loan fees, and the appraised value of your home or FHA’s HECM mortgage limit for your area, whichever is less. Generally, the more valuable your home is, the older you are, and the lower the interest rate, the more you can borrow.
There are no assett or income limitations in order for you to be eligible for a HECM.
If you or anyone you know has any questions about the Idaho FHA Reverse Mortgage feel free to contact me.
Andy Radke
Hyperion Capital Group
Mortgage Banker
Direct: 208-859-5825
LoanswithAndy@gmail.com
Top 10 Boise Idaho Mortgage Links/Articles/Questions
1. Idaho FHA Reverse Mortgage
2. What is a HECM Loan?
3. Common FHA Reverse Mortgage Questions
4. Idaho USDA Rural Development Zero Down Payment Home Loan Mortgage
5. Boise, Idaho FHA Streamline Refinance
6. Jumbo Mortgage Financing for Boise, Idaho Properties
7. Conventional Home Loans For Boise Idaho Borrowers
8. VA Mortgage Loans in Boise Idaho
9. Boise Idaho Reverse Mortgage Senior Loans
10. FHA Mortgage Loans in Boise Idaho
