Sidebar

Main Menu

Template Settings
Select color sample for all params
bluegreenorangepinkredteal
Select Layout
Reset

HECM - What the heck is a HECM ?

Call Seniors Residential Advisors at 512.626.9168 and find out how to stay in your home or purchase a new home and have No Mortgage Payment.   

HECM

A Home Equity Conversion Mortgage (HECM) might be the answer for you.  Designed to help senior homeowners to tap into equity accrued in their home, potentially providing a valuable tool for seniors 62 and older who prefer to age in place.

 Remain in your Home:

  • Ownership does not change
  • No mortgage payments
  • Taxes and Insurance must be paid
  • Supplement your income
  • Pay off your existing mortgage
  • Pay for home renovations to meet your changing needs

HECM for Purchase

 

A Home Equity Conversion Mortgage for Purchase (H4P) can be your answer. Designed to help senior homeowners purchase a home more accommodating to their changing needs

Purchasing a new home:

  •  Avoids home renovations of your current home
  •  Provides more buying power (requiring about 50% down to buy 100% of home)
  • With No Mortgage payments 
  • Taxes and Insurance must be paid
  • Frees up other equity

 

A H4P or HECM for Purchase are (modeled after the old reverse mortgage) is an FHA insured loan for senior homeowners who are 62 or older, and live in their home. The Lender allows seniors to utilize part of the equity in their home, but are not required to make payments on the loan!  There are modest income, credit and tax & insurance payment history requirements, and once funded, there is no repayment required as long as borrower lives in the home, pays property taxes, and maintains hazard insurance!  Money from a H4P can be used any way that the homeowners choose and is non-taxable.  

Money from a HECM can be used any way that the homeowners choose and is non-taxable. 

YOU NEVER owe more than the value of your home!!

If you want to age in place but feel you can’t afford to, your SRES® can help you learn more about these mortgages.  We work closely with preferred lenders who can help you determine your eligibility and assess the amount available based on the home value and age of the homeowner/borrower.

You can count on your Seniors Real Estate Specialist (SRES®) to help guide you through the process and the special considerations, making the transaction less stressful and more successful.

Read more in this guide on how to "Use Your Home To Stay At Home", from the U.S. Department of HUD and provided by the National Council on Aging.  

 

Call Seniors Residential Advisors at 512.626.9168 and find out how to stay in your home or purchase a new home and have No Mortgage Payment.   

Resources