Reverse Mortgages

Reverse Mortgages in Florida

A reverse mortgage is a loan option for Florida homeowners that allows them to access a portion of their home equity. With this type of loan, homeowners don't have to repay the amount borrowed until they move out of the house. It's a way to convert part of the home’s value into cash while still living in it.

You must own your home
Any existing mortgage you have must be paid off using the proceeds from your reverse mortgage
Must be your primary residence
You must remain current on property taxes, homeowner’s insurance and other mandatory obligations, such as homeowners association dues
You must participate in a consumer information session led by a HUD-approved counselor
Your home must be a single-family home, a multi-unit property with up to four units, a manufactured home built after June 1976, a condominium, or a townhouse

Lump sum – receive the entire loan proceeds at closing, which is the only option with fixed interest rate; the other five options involve adjustable rates.
Equal monthly payments plus a line of credit – the lender delivers consistent monthly payments for as long as at least one borrower lives in the home as a principal residence, with the option to access additional funds through a line of credit if needed.
Term payments – the lender offers the borrower equal monthly payments for a period of their choice.
Line of credit – funds are accessible for the homeowner to borrow as needed, with interest only paid on the amounts from the credit line.
Term payments a line of credit – the lender provides equal monthly payments for a specified duration selected by the borrower, such as 10 years, with access to a line of credit for additional funds during or after that term.
Equal monthly payments – as long as at least one borrower resides in the home as a principal residence, the lender will provide consistent monthly payments to the borrower, also known as a tenure plan.

Your loan approval depends 100% on the documentation that you provide at the time of application. You will need to give accurate information on:

Employment

Complete Income Tax Returns for past 2-years
W-2 & 1099 Statements for past 2-years Pay-Check Stubs for past 2-months
Self-Employed Income Tax Returns and YTD Profit & Loss Statements for past 3-years for self-employed borrowers

Savings

Complete bank statements for all accounts for past 3-months
Recent account statements for retirement, 401k, Mutual Funds, Money Market, Stocks, etc.

Credit

Recent bills & statements indicating account numbers and minimum payments
Landlord's name, address, telephone number, or 12- months cancelled rent checks
Recent utility bills to supplement thin credit
Bankruptcy & Discharge Papers if applicable12-months cancelled checks written by someone you co-signed for to get a mortgage, car, or credit card, this indicates that you are not the one making the payments.

Personal

Refinancing or Own Rental Property