Reverse Mortgages: Background and Issues
| Author | : | |
| Rating | : | 4.52 (989 Votes) |
| Asin | : | B005UGWD7M |
| Format Type | : | |
| Number of Pages | : | 115 Pages |
| Publish Date | : | 2017-09-19 |
| Language | : | English |
DESCRIPTION:
Alan said Too Statistical. This book did not speak in understandable terms as to how they work and the pros and cons of taking out a reverse mortgage.
These instruments have been referred to as reverse mortgages, reverse annuity mortgages, and home equity conversion loans.Reverse mortgages are the opposite of traditional mortgages in the sense that the borrower receives payments from the lender instead of making such payments to the lender. Under a tenure reverse mortgage, the borrower is provided with income for as long as he or she continues to occupy the property.For borrowers, the most risky reverse mortgage is the term reverse mortgage. 110- 289, established a mortgage limit equal to the conforming loan limit for the Federal Home Loan Mortgage Corporation (Freddie Mac).Present law limits the aggregate number of FHA-insured reverse mortgages to 275,000 loans, and that limit has been exceeded. The use of tenure reverse mortgages has grown in recent years due to the availability of an Federal Housing Administration (FHA)-insured reverse mortgage. 111-117, provided that FHA may continue to insure HECMs through September 30, 2010.. The Housing and Economic Recovery Act of 2008, P.L. Reverse mortgages are designed to enable elderly homeowners to remain in their homes while using the equity in their homes as a form of income.In general, reverse mortgages may take one of two forms: term or tenure. Borrowers have been reluctant to enter such mortgages because at the end of the loan term the borrower would likely have to sell the home and move.For lenders, the most risky revers