Six best lenders for a Reverse Mortgage Loan
What is a Reverse mortgage? A reverse mortgage is an especial type of Loan for elder citizens (up to 62) having a significant amount of home equity. Against this home equity, the person can purchase a fixed amount of lump sum or fixed monthly payment. Even the borrower also can purchase the mortgage to get funds as a line of credit as well. Reverse mortgage efficiently helps the 62 aged persons get money to pay off their mortgage, supplement their income, and pay their health expanse.
Wait! Only reading up to this, donâ€™t show too much interest in the reverse mortgage. A reverse mortgage is not too simple; you are thinking now. As it can use your home equity, that means you are leaving too little for your heirs. However, once you have decided to go with a reverse mortgage, know the three different types of a reverse mortgage, choose the most suitable.
Single Purpose Reverse Mortgage (Non-Profit), Proprietary Reverse Mortgage (Private Loans), Federally Insured Reverse Mortgage (Home Equity Conversion Mortgage). The money you got from a reverse mortgage is not taxable and never will impact your Social Security and Medicare Benefits. Best Lenders for Reverse Mortgage: American Advisors Group (AAG) (Best overall): AAG is the largest reverse mortgage lender in the whole USA.
It has a very staple reputation with some effective features. This lender offers different mortgage options and a specialist who will help the borrower select the best suitable reverse mortgage for you. Despite being the larger lender, it has a stable reputation for a long time in the financial investment business.
It has a Different borrowing strategy. However, the Initial Closing cost might be included- Interest rates, PMI, originating fees, Appraisal & Title Search Fees; closing Cost and some other included fees-total fees will be $6,000 to $8,000 (depending on your home value as well).Pros: Online Loan Calculation (totally free) Expertise Customer Service Up to $4million Loan Cons: Several fees and all fees can add so quickly Quontic Bank (Best for Long Loan Terms): If you are searching for a reverse mortgage with a long-term payment system, Quontic Bank is the best option for you.
Moreover, this bank is also best because of the payment terms (against any reverse mortgage); you can round up using some other source of money like a credit line. Quontic Bank is available whole nationwide. It does not ask for any monthly service fees. Administrative and customer service charge is included. The initial closing cost for the reverse mortgage from this bank included first PMI, Originating Fees, Appraisal Fees, Title Search Fees.
All in total wonâ€™t be crossing the $6,000 to $ 8,000 range. Pros: Online & Mobile Banking Satisfactory Customer Service Good reputation for a long time Cons: Limited Branch Only Home Equity Mortgage option Liberty Reverse Mortgage (Best for Good Credit): Liberty Reverse Mortgage is featuring some flexible terms to pay the Loan against the reverse mortgage loan.
It has a Reverse Mortgage Specialization to Price match, which also offers a Closing Date Guarantee. Undoubtedly, Liberty is perfect for Good Credit Borrowers. It provides a competitive price for the mortgage loan offering the Liberty Iron-Clad Guarantee altogether. These lenderâ€™s originating fees are 2% (first $200,000) of your home value+ 1% on the remaining home value. You will have to give both the Appraisal and Title fees. The reverse mortgage option from Liberty is available in every state. Only Utah is excluded from this option.
Pros: Available in all state (only Utah is excluded) Liberty Iron Clad guarantee You will get detailed info from the liberty website Free Online Resource Cons: Utah is excluded from getting the reverse mortgage Online tools are limited in action Rigid Eligibility Requirements Reverse Mortgage Funding (Best for Ease of Qualifications): Reverse Mortgage Funding features the Proprietary Reverse Product.
This product demands a lower borrower age with higher equity access. It is said that; Reverse Mortgage Funding is the easiest lender that offers the easiest qualification process. In most states, this lender offers its reverse mortgage loan. And people of 60 age can also qualify for this Loan. Do you know what the minimum age requirement of other competitors for a reverse mortgage is? Minimum of 62! Pros: Offers On-demand Webinar Offers Git Card (up to $500) Qualify the 60 aged people as well.
Cons: Less Online tools and resources Limited Loan Offerings Longbridge Financial (Best Online Option): Details info and resources about the reverse mortgage (defined by the FHA Parameters) are easy could reach in Longbridge Financial Companyâ€™s online option. You can easily educate yourself by the available educational resources about the reverse mortgage from Longbridge Financial Companyâ€™s online platform.
Before consulting with a salesman, educating yourself is a wise job, I think. However, you will find an online section on the website of Longbridge, which is designed for adult-child to understand how a reverse mortgage is going to be efficient for their parents. Pros: Free Identity Theft Security Low Upfront Cost No First-year Withdrawal Limit Cons: No Regional Branch Limited Loan Selections Finance of America Reverse (Best Reverse Mortgage for Purchase): Finance of America Reverseâ€™s (FAR) offers a non-government reverse mortgage product to the borrowers.
The reverse mortgage loan from this lender is perfect for making a new home with a reduced size. The senior citizen can also get this Loan to move to such a downsized place, which offers the borrower to live with his/her physical limitations. Both for the Home or Condo, FAR offer up to $4 million of equity.
However, it is available in 35 states (plus Washington DC), and it is featuring good customer service for all types of customers. You can get their response even via email and phone calls. Pros: Up to $4 Million Loan Price match guarantee Competitive Fixed Interest Rates Cons: Available only in 26 states (proprietary Products) Final verdict: So, this is all about a reverse mortgage. If you read the entire article, you now become knowledgeable about the reverse mortgage as we have included the six best lenders for a reverse mortgage in this article, so it has now become very easy for you to find the best lenders to get a reverse mortgage loan for you. Thank you.