Where should you start? The decisions surrounding this loan are often overwhelming and I encourage you to seek the advice from those whom you trust the most: family, friends, attorney, tax and financial advisors. Especially seek counsel from a qualified reverse mortgage originator who understands and can explain what this loan is and is not. If you learn that your advisors also need step 1 below, please encouage them to contact me.
Step 1 Education: Meeting with a qualified reverse mortgage professional is key. Contact me for more information about details and specific reverse mortgage loan programs. 831-645-1164 or firstname.lastname@example.org The National Reverse Mortgage Lenders Association http://www.reversemortgage.org provides an excellent overview of reverse mortgages and can answer many questions. I am a member and my parent company American Pacific Reverse Mortgae Group is a member. HUD is also a good resource for educational materials http://www.hud.gov/buying/rvrsmort.cfm
Step 2 HUD Counseling: A HUD-approved agency interviews you usually over the phone, for a lengthy conversation often lasting over an hour. It takes a few days to schedule and at completion you receive a certificate. The cost est $125.00 is paid upfront usually with a credit card and in exceptional cases the cost can be collected at closing from the reverse mortgage proceeds. I can provide that list of counselors.
Step 3 Your Application: Once you have completed your HUD counseling I will guide you throught the applcation package. We can do this in person or over the phone combined with email and fax and regular mail when necessary. If you live in California I can help you!
Step 4 Processing: I have an original counseling certificate from you as well as other required documents, so at this phase we open escrow, order the title report, and most notably order the appraisal. We coordiante for the appraiser to go to your home by appointment, inspect the home and determine value. This step can take a couple of weeks. From here to the closing table takes on average 30 days.
Step 5 Underwriting: After all reports including the appraisal has been completed we submit the entire file for underwriting. Additional items might be requested.
Step 6 Final Loan Documents and Funding: Once your loan has been fully approved and any outstanding conditions have been satisfied, we will set up an accommodation signing to take place at your home or at the title company, or at my office, whichever is most convenient for you. The loan signing usually takes about 1 hour. We will then send the final loan documents back to underwriting, and you can expect your Reverse Mortgage to fund after 3 business days. ( a HECM for purchase has no 3 day recission)
Step 7 Enjoy your new life!