Page 1 - WSAAG065_H4P Realtor Flyer

HECM for Purchase HECM for Purchase
Frequently Asked
Increase Home Sales with Questions

a Home Equity Conversion What sources are allowed for

Mortgage (HECM) Loan 1. the down payment? The sale of
the existing home, gift money, home
buyer’s savings and other assets
Finance a home purchase with no monthly are all sufficient ways to source the
mortgage payments*. Call me today! required funds for closing.

*Borrower must continue to pay property taxes, homeowners What sources CANNOT be used
insurance, and home maintenance costs. 2. for the cash required to close?
Seller’s financing and concessions,
credit card cash advances, bridge
Give Senior Clients More Options
loans and subordinate financing
With the HECM (Home Equity Conversion Mortgage) for cannot be used for closing.
Purchase loan, everybody wins! Increase sales opportunities
for yourself and move more inventory while offering a viable 3. What property types are
financial option to your senior clients. eligible? Single-family residences,
FHA-approved condos, FHA-
A HECM for Purchase loan is a reverse mortgage that is approved manufactured homes,
specifically designed to assist people age 62 or older purchase and Planned Unit Developments
a home with no monthly mortgage payments . (PUDs).
*
What property types are NOT
How a HECM loan can benefit you: 4. eligible? Co-ops, second homes

n Sell more homes to your senior clients who are transitioning (investment properties), boarding
into retirement. houses, bed and breakfast
establishments, and manufactured
n Benefit from two potential transactions: a home sale and a homes not approved by FHA.
purchase.

n 5. What are the Eligibility
Assist clients with obtaining financing they originally did
not think they could obtain without existing employment. Requirements? Home must
become the buyer’s primary
residence and be occupied by
the buyer within 60 days from the
closing date. Construction must
be complete, and the property
must be habitable. A certificate of
occupancy or the equivalent must
Call today to learn more. be issued prior to submission of
the loan application.

WSAAG065