|
San Diego reverse mortgages
are getting more and
more popular all of the time so it only
makes sense that Fannie Mae who is the largest company
investing in mortgages would be involved, right? Right,
and they are. Fannie Mae has even started
their own reverse mortgages such as the Home
Keeper reverse mortgages also offered in San
Diego.
The reverse
mortgages offered by Fannie Mae, especially the
Home Keeper reverse mortgages are designed to fill
a gap in the San Diego
reverse mortgage market. You can get one
of these reverse mortgages even if you have
property worth more money at the most, or if you own condos and
surprisingly enough these reverse mortgages can
even help you to buy a new home if that is what
you need money for. The Fannie Mae reverse
mortgages offer much more flexibility than many of
the other reverse mortgages that are out there.
It does not
matter what state you live in you will be able to
get one of these reverse mortgages as long as you
are 62 years of age or older. There are some
requirements that you will need to meet such as
living in the house that you own. This home can be
a single-family house, a condo, townhouse and
other units in qualifies planned living
developments. There are also leasehold properties
that can be eligible and some properties that are
in trust.
The amount
of money that you
get from the Home Keeper San Diego reverse mortgage will
be determined by your age, whether you are
single or married, the adjusted value of the home
in question, and the interest rates at the time
of the reverse mortgage. There is a limit to these
San Diego reverse mortgage loans as well although
they are higher than with regular reverse
mortgages.
You will be
able to choose the type of payments that you will
receive from a Home Keeper reverse mortgage. These
payments can come to you monthly for the rest of
your life, a line of credit or even the popular
option of a line of credit and monthly payments.
If you
choose to get a Home Keeper loan you will have to
pay an origination fee that will be less than 2
percent of the total adjusted value of the home.
This is a rule that cannot be broken. There may
also be a monthly servicing fee to deal with as
well as closing costs like you would find in any
other mortgage. You may have the option of paying
off these costs and fees over time and they can be
financed in some situations.
Your
interest rate will be adjusted once a month when
you have a Home Keeper loan and while there is no
monthly cap on how much the interest rate may
change there is a lifetime cap of 12 percent above
the first rate given.
In one
single transaction you may be able to get a Home
Keeper loan in order to buy a new one. You will
still have to be 62 or older. This is a great
option for those looking to lower the costs of
buying a new home. This happens by getting rid of
the new monthly mortgage payment and this way you
have a better chance of getting more left over
money once all of the transactions are completed.
This money you can use for anything that you want.
A Home
Keeper San
Diego reverse mortgage allows a senior to use
this money to cover the new mortgage payments or
even to buy the new home outright. This is perfect
for those who want to move to a sunnier and warmer
climate.
Costs
associated with San Diego
reverse mortgages
San Diego reverse
mortgages are eligible for many of the same costs
that regular
mortgages are. These fees can include origination
fees, mortgage insurance premiums, appraisal fees and many
other miscellaneous fees. It is important that you know what these
fees are before you sign for a reverse mortgage loan.
The
following list is of some of the fees that you
might run across while getting a San Diego reverse
mortgage. Keep in mind that you will be able to
finance some of these fees and many of them are
capped fees.
The
origination fee
is one that most mortgages carry
and this is the fee that covers the costs of the
actual reverse mortgage. This will be going
towards taking care of office expenses and
overhead as well as other things like the
marketing for reverse mortgages that bring in the
customers like you.
If you get your San
Diego reverse mortgage through the HECM program
like most other borrowers do you will not be
looking at any more than 2 percent or $2000 of the
max claim amount. Whether it will be $200 or 2
percent depends upon which is higher as this is
the one that will be charged. Each county has its
own limit on how much can be loaned under the HECM
program so you will need to find out the amount
you are eligible for in your county.
Home Keeper
is another
popular San Diego reverse mortgage and this one
too is 2 percent for the origination fee and it as
well as the former can be financed.
You will
also have to pay your mortgage insurance premium
on your new reverse mortgage. Your mortgage
premium is gong to be around 2 percent of the max
claim amount or the value of your home and then
each year you will be charged an amount of 0.5
percent of the balance of the loan that you have.
It is
important to pay your mortgage insurance premium
each year because this is your protection should
anything go wrong at the company you have borrowed
from. It is this amount that will guarantee that
you only have to pay how much you owe and that it
can never be more than your home is worth. And on
top of that it will make sure that you always have
access to your funds no matter what, even if the
loan servicer goes out of business.
The
appraiser fee
that you have to pay is for the
appraiser to come and value your home. Before you
can get a reverse mortgage the lender will need to
know exactly how much money your home is worth.
The fee that you have to pay for the appraisal
will probably be somewhere between $300 and $400.
The
appraiser will do so much more than just put a
number to the value of your home. They will also
check for any structural damage that there might
be to the house as well. They will look for
leaking roofs and also make sure that all of the
safety codes have been met. If anything is not up
to code or there are any severe repairs that need
to be made you will have to get a contractor to
take care of things.
The good
news is that even if you need to get repairs done
you can get these costs financed. You will then
have to get the appraiser to come back and
re-evaluate the property. This will cost an extra
fee of anywhere between $50 and $75.
Here are
some of the closing costs that you will have to
deal with as well:
Credit
report fees- $20
Checks your credit for any
problems
Flood
certification- $20
Are you located in a flood
plane?
Escrow fees-
$150-$450
Includes title search
Document
preparation fees- $75-$150
Costs for making up
the various documents that are necessary
Recording
fee- $50-$100
Covers recording fees for the
mortgage at the County Recorder's Office
Courier fee-
less than $50
Cost of mailing various docs
Title
insurance
Prevent you from losing any money
should someone show up with a claim to the
property. The cost can vary all depending on how
much the loan is worth
Pest
inspection- less than $100
Checks for termites
and other pests
Survey- as
much as $250
Checks the property lines
Another
thing that you have to know is the servicing set
aside. This is the money that will be put aside to
take care of the estimated costs that will be
accrued in the servicing of your new mortgage. You
may also be charged each month a small fee ranging
from $35 to $35 for the servicing of your account.
The amount that will be charged for these fees
depends on how old you are and how large the loan
is.
San
Diego Home Equity Conversion
Mortgage
The San
Diego Home Equity Conversion Mortgage is
by far the most popular of all San
Diego reverse mortgages, in fact, almost all of
those who get San Diego reverse mortgage get the Home
Equity Conversion Mortgage. They are nice and safe
because they are insured by the federal government
and this is part of what makes them such a hot
commodity.
Just like
with any
other San Diego reverse mortgage just how much
money you get is gong to depend on the appraisal
value of your home, just how old you happen to be,
how much equity you have in your home and the
current interest rates at the time of the
mortgage. There is another factor that will be
taken into consideration when determining how much
money you get from a reverse mortgage and that is
the area in which your home is
situated.
There are
some limits
to how big the San Diego Home Equity Conversion Mortgage can
be and these vary from county to county. These
Home Equity Conversion Mortgage limits are
also adjusted each year so if you want to know
the lending limits for where you live you will have
to talk to a San Diego reverse mortgage lender to
find out. He or she will be able to answer this
question and any others that you may
have.
If it
happens that your home is worth more than the
lending limit in your county then you will still
not be able to get more than the current
limit.
There will
still be
closing costs with the San Diego Home Equity
Conversion Mortgage just like a regular mortgage
and in most cases this will be about 2 percent of
the total amount of the loan. You may also have to
pay a yearly premium of 0.5 percent each year but
this is to make sure that you will be able to be
taken care of even if your lender goes out of
business. This does happen from time to time and
that half a percent is what will allow the
government to step in and take care of you in that
situation.
It is also
important to note that you will never have to owe
more than you borrowed when it does come time to
sell the property.
All
about the San Diego jumbo
reverse loan
There is a
San Diego reverse
mortgage offered by many lenders called a jumbo
loan and this loan is designed to help those borrowers
who live in higher priced housing, housing
that is worth more than the county limits on
reverse mortgage lending. This San Diego reverse mortgage
is sometimes called a Cash Account and it is a
great way to get the money that you need from a
reverse mortgage. This reverse mortgage product is
not only helpful when trying to avoid the lending
limits it is also helpful when the property that
you want to use is out of the norm or the
situation is.
You can even
find some of these jumbo loans that will not carry
any up front costs whatsoever. To get one of these
types of jumbo loans you would have to take out
the entire amount available to you but if that is
what you had planned on doing anyways you could
save some serious cash on the closing fees and
other up front costs.
Just like
with any other reverse mortgage any person over
the age of 62 will be able to use the equity in
their home to acquire a reverse mortgage. They
will still be able to live in the home for as long
as they want and retain the title. You will even
get to talk to a professional who will help you to
understand everything that you need to know about
reverse mortgages and any other options that are
available to you at that time.
San Diego Reverse Mortgage
Facts
San Diego reverse mortgage is a
mortgage loan for senior citizen home owners. A
reverse mortgage is also known as lifetime
mortgage. This is a loan available for people aged
62 years and above, and it releases the home
equity in the property as multiple or one lump sum
payment. San Diego reverse mortgage loan repayment
is differed until the owner dies or the home is
sold or the owner leaves this home to live
elsewhere. In the retirement years the San Diego
reverse mortgage is the smart option. This
mortgage loan is perfect for retired people as
they can continue their lifestyle even after their
regular income has stopped.
How is San Diego Reverse Mortgage
different from other types of San Diego
Mortgages?
In a typical mortgage the homeowner
has to make a monthly payment to the lender. This
way the principal amount of the mortgage loan goes
on decreasing and the home equity goes on
increasing. At the end of the term of loan when
the mortgage is paid in full the lender will
release the property.
In case of San Diego reverse
mortgage the homeowner does not have to make any
monthly payment. On the contrary he can he can
withdraw money every month till he reaches the
credit limit. The interest on the amount borrowed
is added on to the lien of the mortgaged property.
In reverse mortage, the homeowner's lifetime
annuity is converted by the capital value of a
home. The annuity is designed to rise, fall or
stay steady over the lifetime.
In order to avail a San Diego
Reverse mortgage there is no need for minimum
income or excellent credit. All that is required
to qualify for it is the borroer to be of 62 years
of age and a house owend by him. It also necessary
that the borrower himself resides in that home for
majority of the year.Although San Diego reverse
mortgae has to be the only mortgage on the subject
property, the previous mortgages can be paid from
the money received through reverse mortgage. In
this loan the borrower can use money for any
purposes. It can be used for his day to day
living, to pay his medical expenses or to even
take a vaccation.
As mentioned earlier the repayment
of San Diego reverse mortgage has to be made only
on the death of the boprrower or when the borrower
decides to reside at some other place. The
repayment is made only from the sale proceeds of
the mortgaged house property without any recourse.
This means if the property cannot generate
proceeds enough to recover the complete amount of
San Diego reverse mortgage, then the lender cannot
claim the balance amount.Also after all the dues
are recovered the remaining balance is handover to
the heirs of the borrower. If the heirs wish to
keep the house property they can do so by paying
the dues to the lender.
With so many benefits, San Diego
reverse mortgage is becoming increasingly popular.
So keep all your worries aside, because retirement
is a beggning of new life. A time to enjoy fruits
of years of hardwork. And San Diego reverse
mortgage is here to help you do just
that. | 
Main : Buy : Finance : Sell : Investment :
Contact
: Mortgage
Calculators 
