Reverse Mortgages are now available with no FEE!
Reverse Mortgage Fees
One of the major complaints about Reverse Mortgages as a whole is that they are too expensive. Well, that problem has now been fixed and this article will explain how lenders have removed their service fee, taken out their origination fee, and what these changes mean for you.
The Reverse Mortgage is a loan, and like any normal forward mortgage, it has a service fee. However, in a Reverse Mortgage, or HECM which stands for Home Equity Conversion Mortgage, the service fee is collected out the loan proceeds and is paid each month by your lender. By removing this fee, Borrowers can now receive much more money from their loan than ever before.
Along with removing the service fee, Reverse Mortgage Lenders have also removed the Loan’s Origination Fee! There are two major charges involved with this product. The Mortgage Insurance Premium, which is an amount that calculated by taking 2% of the home’s appraised value. The other is the Origination Fee which is also calculated by taking 2% of the home’s value, although recently most lenders have capped their fee at $6,000.
Both of these major changes mean on thing: More Money for you, the borrower! By removing the origination fee, these banks and mortgage lenders have removed close to half of the fee’s involved in a Reverse Mortgage. The removal of the service is also great because it should increase your available funds by $3,000-$6,000! There is now more money available for you to pay off your current mortgage, increase income, and create investment capital for insurance policies, savings plans, bonds, and securities. All of this should increase your enjoyment of your retirement and make sure your home is always safe from foreclosure and default.
There are several lenders, but not all, who have made these dramatic changes in the competitive nature of Reverse Mortgages. To find out which lenders have taken out these fees to make your Reverse Mortgage better, either contact ReverseMortgageSafety.com by filling out a form or contact each lender directly to see if they have removed their fees.
