Choosing a HECM Reverse Mortgage Lender
Choosing a Reverse Mortgage Lender
You’ve done your research, learning what a popular financial tool the HECM Reverse Mortgage has become in recent years. You’ve discovered that qualified U.S. homeowners, age 62 and over, can convert a portion of their home equity into cash without having to immediately sell their home or make monthly mortgage payments, but must maintain property taxes and insurance.
With so many lenders to choose from, what are some things you can do to ensure you make an informed decision? We’ve developed a list of questions to ask and qualities to look for that should help you find the right reverse mortgage lender.
If you are interested in seeing what you may qualify for, use our reverse mortgage calculator to get a no obligation estimate or give us a call at
Ask about our face to face in-home consultations and free appraisals for qualified Texas homeowners
Important Disclosure
- The borrower remains responsible for property taxes, hazard insurance and home maintenance, and failure to pay these amounts may result in the loss of the home; and
- Charges will be assessed with the loan, including an origination fee, closing costs, mortgage insurance premiums and servicing fees.
- The loan balance grows over time and interest is charged on the outstanding balance
- At the conclusion of a reverse mortgage, the borrower must repay the loan and may have to sell the home or repay the loan from other proceeds
- Interest on a reverse mortgage is not tax-deductible until the borrower makes partial or full re-payment.
What Should You Look for in Your Reverse Mortgage Lender?
In addition to the suggestions below, one of the most important factors, to most borrowers, is proximity. As it turns out, face to face transactions are very important to the confidence seniors feel when getting a reverse mortgage loan. Being a local reverse mortgage lender provides the opportunity to work face to face, establishing a trusting relationship with your lender. That does not mean they must have an office within 5 or 10 miles, but at least close enough to meet in person if you so desire.
- How many reverse mortgages have they done? There are several ways to determine if a lender can best meet your needs, asking how many loans they have done can reveal both their competency and capacity.
- What costs & fees do they charge for? Reverse mortgages can come with a variety of fees, including origination fees, closing costs, and servicing fees. You want to know what fees you will be responsible for and how much they will be.
- Are they easy to get ahold of? Your reverse mortgage lender should be easy to reach and promptly respond to your calls and emails.
- Do they have a good reputation? If your reverse mortgage lender has done an adequate number of loans they will generally have a Better Business Bureau rating and customer reviews available.
- What is their average length to process the loan? Reverse mortgage loans can take several weeks or even months to process, so your lender should be able to set accurate expectations of the timeline.
- Are they respectful of your time? The last thing you want is an aggressive lender who calls or emails you too often, so it’s important they have respectful boundaries and are considerate of your time.
Want to get an immediate estimate of the amount you may qualify for?
What Are the Costs & Fees?
Learn About the Pros & Cons
Loan Application Steps
What Are The Qualifications?
Choosing a Reverse Mortgage Lender Summarized
Understanding the qualities you should look for in a reverse mortgage lender can help you avoid the pitfalls of choosing a lender that falls short of your needs and improve your decision making process when the time comes to get a HECM reverse mortgage. We hope that the information we provided gave you a better perspective about the varying points of view related to this unique loan product. Our main goal is to ensure you have the information you need to make an educated decision about reverse mortgage loans and access to us as a trustworthy local Texas HECM lender.
Reverse mortgages can be a great option for qualified Texas homeowners looking to augment their retirement income or have additional financial resources that allow them to maintain or improve the freedom and lifestyle they’ve earned over years of hard work and sacrifice.
If you would like to have a free, no obligation discussion about the details of the reverse mortgage loan products available, do not hesitate to give us a call, we’d love to meet with you at your home or have a talk on the phone to help you learn everything you need to know about the HECM reverse mortgage loan.
For more information give us a call at (800) 215-0891
Or use our reverse mortgage calculator to get an estimate of the proceeds you may qualify for!
Mortgage and Insurance Solutions Inc. NMLS #1124365