California (CA) Reverse Mortgage Loans
How CA Reverse Mortgages Work
A California Reverse Mortgage / Loan is a home loan which provides the homeowner with cash payments based on home equity. Throughout the course of the loan, the borrower retains the California property title/ownership. Typically, repayment of the loan is made when the property is sold or upon the homeowner’s death.
Requirements
- Age requirement: California borrower must be 62 or older
- HUD-approved counseling
- Income: No requirements
- Assets: No requirements
- Employment: No requirements in California
- Credit score requirements: None
- Health requirements: None
FAQs about Reverse Mortgages
Can I lose my home with a California Reverse Mortgage? The Bank can only foreclose on your California home if you do not 1) pay your homeowners insurance, real estate taxes, any HOA fees, 2) keep the home in good repair 3) keep the California home as your primary residence. You never have to make a mortgage payment. What if I already have a California mortgage? First, your current mortgage and any other liens against the property in California will be paid off. As long as you have enough equity to do this, a Reverse Mortgage would work for you. Will a California Reverse Mortgage cause me to pass debt on to my heirs? A Reverse Mortgage in California is a non-recourse loan. There is mortgage insurance, which is a Federal requirement, which will pay off the difference from the value of your home to what you owe. No one comes out of a Reverse Mortgage owing more than the value of their home. If the value of the California home is greater than what is owed, the heirs inherit the additional money after the loan is paid. Are California (CA) Reverse Loans high-risk? A number of safeguards have been built into the program, including mandatory HUD-approved counseling in California, payment guarantees, capped interest rates, advanced disclosures, a three-day rescission period and a non-resource limit.
California Reverse Mortgage Experts
Apply now or contact the California Reverse Mortgage experts at Home Point Financial to learn more about reverse mortgages in Los Angeles, San Diego, San Jose, Newport Beach and throughout California.
