Page 7 - Retail Jumbo Booklet
P. 7

THE AD V ANT A GE D IFFEREN CE




                                                  HECM                  Advantage


                                            Age 62 or older             Age 55 or older**


                                           Own your home                Own your home


                          Requires substantial home equity              Requires substantial home equity



                                       Counseling required              Counseling required


                              Financial assessment required             Financial assessment required


                          Max claim amount of $970,800*                 $10 million


                       Top loan amount (% of $970,800*)                 Up to $4 million



                Upfront and annual insurance premiums                   No mortgage insurance premiums


                                         Non-recourse loan              Non-recourse loan


                        Maintain home, pay property taxes,              Maintain home, pay property taxes,
                                and homeowners insurance                and homeowners insurance




                            *HECM loan principal is calculated as a percentage of appraised value or $970,800, whichever is less.
                     **The Advantage product options have a minimum age requirement of 55 in all states, with the exception of NY, and WA   7
                             in which the minimum age is 60, and UT, NC, and TX in which the minimum age requirement is 62.
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