What are the eligibility requirements for a reverse mortgage?
For an FHA Reverse Mortgage, the youngest borrower must be at least 62 or at least 55 for a “Jumbo” non-FHA reverse mortgage.
They must have 50-60% in home equity – or more – and it must be their primary residence.
The requesting homeowner must have been current on their mortgage, property taxes, homeowner’s insurance and HOA dues for the last 2 years.
They must also have incurred no bankruptcy or foreclosure in those two years.
The home must be owner-occupied and a single family detached home, an FHA approved condo, a townhome, a patio home or 2-4 unit building to qualify.
The borrower must also pass “senior friendly” qualifying guidelines, to assure the lender that they have the ability to pay their property taxes, homeowner’s insurance and HOA dues and that they are able to maintain the home.
Finally, they cannot be delinquent on any federal debt.
To find out more about eligibility requirements for a reverse mortgage, call our office today.
