Page 10 - WS_Jumbo Booklet

3. “Right-Size” to a More Desirable Home

Are you looking for a single-story home or one that is
easier and less expensive to maintain? Maybe you want
to move to warmer weather or be closer to your kids and
grandkids?

Well, you may not know it, but a jumbo reverse mortgage
purchase loan combines a reverse mortgage with the
equity from the sale of your previous home—or from other
savings and assets—to buy your next primary home in a
single transaction. Regardless of how long you live in the
home or what happens to your home’s value, you only
make one down payment toward the purchase. All other
monthly mortgage payments are eliminated. And just like
with any mortgage, you are still responsible for property
taxes, homeowner’s insurance and maintaining the
property.

4. Access Your Condo’s Home Equity

If you own a condominium, you will need to meet specific
FHA requirements in order to qualify for a traditional
reverse mortgage also known as a Home Equity
Conversion Mortgage (HECM). Because a traditional
reverse mortgage is a government-insured loan,
condominium projects need to be approved by HUD before
residents or buyers can acquire FHA loans – this process
can be quite lengthy.

However, with the jumbo reverse mortgage loan, we can
now meet the needs of even more consumers who own
condominium property types, even if they are not FHA-
approved. Condo owners are now able to access their
home equity to get the retirement outcome they desire.

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