Reverse Mortgage Guide

One of the most interesting wrinkles of the FHA reverse mortgage program is that it can be used for single-family homes — and also for properties with two, three and four units.

The requirement is that the owner must live in one of the units. This leads to two interesting ideas:

First, you can get a bigger loan when you have more units. In 2007, for example, the FHA loan limit in “high-cost” areas is — at this writing — $362,790. However, the limits are higher for two-unit ($461,113), three-unit ($560,231) and four-unit ($646,421) properties.

Second, in addition to Social Security and money from a reverse mortgage loan, borrowers can also get rental income from their additional units.

For specifics, speak with a reverse mortgage specialist and an attorney who specializes in elder law.

This entry was posted on Tuesday, July 10th, 2007 at 2:13 am and is filed under Reverse Mortgage . You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.