Reverse Mortgage Guide

You probably know some of the reverse mortgage basics: All borrowers must be 62, own the home and have counseling before they can get a loan. Got it? Good. Now let’s test your reverse mortgage smart quotient by examining four fact patterns.

Case #1: Husband and wife are each 62. Both own the home. Wife lives in the home. Husband lives in a different residence. Can this couple get a reverse mortgage?

Answer: No. The property securing the loan must be the primary residence of each.

Case#2: Husband and wife are each 62. Both own the home. Wife lives in the home. Husband resides in a nursing home. Can couple get a reverse mortgage?

Answer: Yes. There is a “nursing home” exception to rule #1

Case #3: Wife is 62. Wife owns the home. Husband and wife reside in Home. Can wife get the reverse mortgage?

Answer: This is a little tricky.

Yes, if husband gets counseling and signs non borrowing spouse docs.

No, if husband does not do as above noted.

Case #4: Husband has a life estate. Wife has a remainder interest. Each is at least 62. Can they both obtain a reverse mortgage?

Answer: Yes. They both have a recognized interest in the property.

Attorney Dennis Haber is the author of the just-published, ground-breaking book, Piggy Bank Your Home: Tap Into The Power Of A Reverse Mortgage.

This entry was posted on Wednesday, February 27th, 2008 at 3:10 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.