Reverse Mortgage Loan Blog

The steps involved in getting a reverse mortgage can be narrowed down to 4 simple steps:

1. AWARENESS

Senior homeowner learns about the potential benefits of a reverse mortgage from a news article, advertisement, word-of-mouth from a friend, family member or trusted advisor.

2. EDUCATION / ACTION

Homeowner seeks additional information by contacting a reverse mortgage lender and speaking with their reverse mortgage specialists. This is one of the most important steps – ask many questions

3. CONSUMER COUNSELING

Counseling is a HUD mandated process. Homeowner seeks counseling from a HUD-approved counseling agency, or AARP-trained telephone counselor. Counseling is required regardless of which reverse mortgage product you choose. Counseling can be conducted over the phone or in person. The homeowner will be given an original counseling certificate to give to their lender as proof they have completed their counseling session as required.

4. APPLICATION

Homeowner will complete a reverse mortgage application and discuss payment option(s): fixed monthly payments, lump sum payment, line of credit, or any combination.

While this list narrows the process down in to identifiable steps, nothing can take the place of asking questions and feeling comfortable about the answers. Education is the most important part of the process.

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