Reverse Mortgage (HECM) Information on any aspect of the FHA Reverse Mortgage.
Reverse Mortgage Alabama has local offices to meet you in person and give you all of the information need to make an informed decision.
Our team has 20 years of Reverse Mortgage experience, so we can handle your Reverse Mortgage quickly and without stress.
What is a reverse mortgage or (HECM) Home Equity Conversion Mortgage and how does it work? Our team will be happy to assist with questions you may have about the pros, cons, examples, illustrations, and requirement information.
We still believe in handling everything face to face if at all possible. We have an office in Hoover / Birmingham that we can make house calls as far out as Gardendale, Cullman, Anniston, and Gadsden. We also have a Huntsville / Madison office to cover house calls to Owens Crossroads, Decatur, and Scottsboro.
If you prefer we can use e-mail, mail, fax, or priority mail.
Reverse mortgage loans are a way for older homeowners to convert their home’s value into tax-free cash, without having to sell or move. Insured by the U.S. government, the Department of Housing and Urban Development (HUD) allows Homeowners who are 62 or older to borrow against the equity of their homes.
Qualifying homeowners can choose to receive tax-free payments from reverse mortgage lenders either monthly, in a lump sum (over a 2-year period), or as a line of credit.
No repayments are required while a borrower lives in the home. Social Security and Medicare benefits are not affected.
The lender recovers the loan amount, plus interest when the home is sold (because owners choose to move or pass away).
When the loan is paid in full, all equity associated with the property will be distributed to your heirs.
Reverse Mortgage borrowers continue to own their homes. Because there are no monthly loan payments due, the amount owed grows over time. That means that the amount and the remaining equity in the home decreases.
Borrowers must continue to pay homeowner’s insurance and property taxes on the house during the loan period. It is also the borrower’s responsibility to keep up with repairs. In fact, if a borrower fails to adhere to any of these obligations, it may become immediate cause for the loan to become due. In which case, it would become payable in full.
What are my reverse mortgage options? The Home Equity Conversion Mortgage (HECM) is the only reverse mortgage that is insured by the Federal Housing Administration (FHA). The FHA guarantees that HECM lenders meet their obligations, governs how much HECM lenders may loan to qualified borrowers, and limiting loan costs. Because this is a government insured program, loan counseling is required, by an approved HUD counselor.
We always welcome family and “adult children” or as were called the “sandwich generation” in the process, so don’t hesitate to call and get the information without worrying that someone will call daily and bother you.
- Reverse Mortgages offer 4 draw options:
- Combine all three, 60% lump sum 1st year, monthly income for a fixed term, line of credit, or mix of all options.
For additional information, an illustration, or a free E-Booklet please call Birmingham (205) 908-2993, or Huntsville (256) 677-9767, or email firstname.lastname@example.org .
Information that will surprise you: 250 Reverse Mortgages are done each year in Birmingham, Alabama, and over 15,000 are done annually in the United States! Also, Reverse Mortgages have been adopted by other countries such as Canada, Australia, New Zealand, the United Kingdom, South Korea, India, and China.