Texas Reverse Mortgages
A reverse mortgage is a type of home equity loan, available to seniors 62 or older, that allows you to convert some of the existing equity in your home into cash while you retain ownership of the property. Equity is the current cash value of a home minus the current loan balance.
A reverse mortgage works much like a traditional mortgage, except in reverse. Instead of the homeowner paying the lender each month, the lender pays the homeowner. As long as the homeowner continues to live in the home, no repayment of principal, interest, or servicing fees are required. The funds received from a reverse mortgage may be used for anything, including housing expenses, taxes, insurance, fuel or maintenance costs.
How Do I Qualify for A Reverse Mortgage in Texas?
To qualify for a reverse mortgage, you must meet the following criteria:
- You must be age 62 or older.
- You must own your home.
- The home must be your primary residence.
- The home must meet Federal Housing Authority (FHA) minimum property standards and flood requirements.
- The home must be one of the following property types: single-family home; a two-to four-unit home with one unit occupied by the borrower; or a HUD-approved condominium.
- You must have sufficient equity. A Reverse Mortgage Specialist from Acquest Lending can tell you if you have enough home equity to qualify.
You may choose to receive the reverse mortgage funds in a lump sum, monthly advances, as a line-of-credit, or a combination of the three, depending on the reverse mortgage type and the lender. The amount of money you are eligible to borrow depends on your age, the amount of equity in your home, and the interest rate set by the lender.
Because the borrower retains ownership of the home with a reverse mortgage, the borrower also continues to be responsible for taxes, repairs and maintenance.
Depending on the plan selected, a reverse mortgage is due with interest either when the homeowner permanently moves, sells the home, dies, or the end of a pre-selected loan term is reached. If the homeowner dies, the lender does not take ownership of the home. Instead, the heirs must pay off the loan, typically by refinancing the loan into a forward mortgage (if the heirs meet eligibility requirements) or by using the proceeds generated by the sale of the home.
Why choose Acquest Lending for your reverse mortgage?
With Acquest Lending reverse mortgages, you'll get the perfect solution to your needs. Here's why:
- We offer 15 years of industry experience and reverse mortgage expertise.
- We offer cutting-edge products served by a team of licensed Reverse Mortgage Specialists here in Texas.
- A live representative will answer your phone call.
- We can give you a free quote that's tailored to your specific situation.
Contact Acquest Lending today to find out more about a reverse home mortgage.