Calvert County Real Estate

What could happen when a Reverse Mortgage Runs Out?

Jay McGrath — Sat, 27 Sep 2008 17:58:54 +0000

Many people hesistate to get a reverse mortgage because they are not fully aware of the consequences of having a reverse mortgage or lack there of. Many people believe that their home will be taken by the lender after their mortgage runs out. The true answer to this problem is:

No! Nor is the loan due. You do not need to repay the loan as long as you or one of the borrowers continues to live in the house and keeps the taxes and insurance current. You can never owe more than your home’s value.

This type of security is one great reason to take advantage of a reverse home mortgage.

Differences between Reverse Mortgages and Other loans

Jay McGrath — Sat, 27 Sep 2008 17:53:41 +0000

Even though many reverse home mortgages are similar in appearance to other home equity loans availible, there are differences between the two.

With a traditional second mortgage, or a home equity line of credit, you must have sufficient income versus debt ratio to qualify for the loan, and you are required to make monthly mortgage payments. The reverse mortgage is different in that it pays you, and is available regardless of your current income. The amount you can borrow depends on your age, the current interest rate, other loan fees, and the appraised value of your home or FHA’s mortgage limits for your area, whichever is less. Generally, the more valuable your home is, the older you are, the lower the interest, the more you can borrow. You don’t make payments, because the loan is not due as long as the house is your principal residence. Like all homeowners, you still are required to pay your real estate taxes and other conventional payments like utilities, but with an FHA-insured HUD Reverse Mortgage, you cannot be foreclosed or forced to vacate your house because you missed a payment.

Many homeowners would find reverse mortgage loans very good ways to get additional income.

Are there age requirements on Reverse Mortgages?

Jay McGrath — Sat, 27 Sep 2008 17:50:19 +0000

While a great way to gain some extra income, only a percentage of the population is eligible for a reverse mortgage loan.

We know that reverse mortgages are not for everyone, because not everyone qualifies to take out a reverse mortgage. Check out below if you are eligible:

You must own your home. All of the owners must be at least 62 years old or older.

Your home must be your principal residence - which means that you must live in it more than half the year.

For the federally insured Home Equity Conversion Mortgage(HECM), your home must be a single-family property, a 2- to 4-unit building, or a federally approved condominium or planned unit development (PUD). For a Fannie Mae Home Keeper mortgage, you must have a single-family home or condominium.

The value of your home must qualify to satisfy any existing liens.

If you have any debt or lien against your home, it can be paid off at the reverse mortgage settlement.

A reverse home mortgage is a great idea if you do qualify.

What are Reverse Mortgages?

Jay McGrath — Sat, 27 Sep 2008 17:47:43 +0000

With the economic crisis at hand many homeowners are wondering about alternatives to loans banks are giving out. Some may find the answer in reverse mortgages. A reverse mortgage is a loan that enables homeowners age 62 and over to tap the equity in their home without having to make a mortgage payments, move, or sell the home. It truly is a “mortgage in reverse”. A reverse mortgage is a special type of home loan that lets a homeowner convert a portion of the equity in his or her home into cash. The equity built up over years of home mortgage payments can be paid to you. But unlike a traditional home equity loan or second mortgage, no repayment is required until you no longer use the home as their principal residence. HUD’s reverse mortgage provides these benefits, and it is federally-insured as well. Searching for reverse home mortgages can be difficult, but they are out there and are great ways to gain some extra income.

Calvert County Real estate

Jay McGrath — Mon, 21 Jul 2008 16:04:21 +0000

Maryland Calver County MLS Multi Listing

Tourism is one of the leading components of Calvert County’s economy.

With increasing amounts of leisure-time available to the workforce, enhanced tourism efforts by the State and County, and the wide variety of accommodations and visitor attractions lend to Calvert’s quality of life.

Calvert County has two information centers where visitors can pick up brochures about the County

Fairview Information Center
8120 Southern Maryland Boulevard, Owings
(410) 257-5381

Solomons Information Center
14175 Solomons Island Road South, Solomons
(410) 326-6027