There are several qualifications that you need to meet in order to get a HECM.
1. To be eligible for a HECM reverse mortgage, the Federal Housing Administration (FHA) requires that all homeowners be at least age 62. If the home is not owned free and clear, then any existing mortgage must be paid off using the proceeds from the reverse mortgage loan at the closing. In addition, you must meet financial eligibility criteria as established by HUD.
2. The home must be your primary residence.
3. You must own your home free and clear or have a significant amount of equity in your house. Reverse mortgage lenders require that their mortgage is the first mortgage on the home (meaning that they are the first ones that get paid if your house is foreclosed on). If you have a traditional mortgage on your house, you need to get enough from the reverse mortgage to pay it off.
4. Your house must be a single family residence, condominium, townhouse, or two to four unit home with at least one unit occupied by you. You usually cannot get a reverse mortgage on a mobile home or a cooperative.
5. The home must be completely constructed and have a certificate of occupancy.
6. Your home’s condition cannot be below HUD’s minimum property standards.
7. You must complete counseling with a HUD-approved counseling agency.
Unlike with a traditional mortgage, your credit score and income have no effect on whether or not you are able to get a reverse mortgage, since you are not making monthly payments.
If you want to know if you qualify hit the FREE ASSESSMENT BOTTON and Fill out the form and Mark will get back to you.