Seniors Can Now Buy a Home with a Reverse Mortgage
With the introduction of the FHA-insured reverse mortgage purchase program, seniors are now able to buy a home with a reverse mortgage. For Realtors®, reverse mortgages provide an option that can overcome some of the usual hurdles to purchasing a home.
Credit scores are not a factor and the borrower is not limited by their income or net worth. The home buyer will be able to purchase more home with the same down payment, or they may be able to purchase the home they want while retaining a portion of the proceeds from the sale of their current home to satisfy other retirement expenses.
In all cases where seniors buy a home with a reverse mortgage, there is never a monthly mortgage payment, and therefore the home buyers have secured their home for the balance of their life, with only the responsibility to live in the home, pay their property taxes, and keep the home insured.