The waiting game…

Fear.  Fear of the unknown.  How many times do we have someone contact us, interested in improving their situation, the solution is presented to them… and they choose instead to wait?

Fear. Fear of the unknown.

Even when the facts are laid out, the option of pain and discomfort can be replaced with safety, security and peace of mind… but when Fear is present, poralysis isn’t far behind.

I try to help my clients be objective, which can be dificult with life changing decesions. Even when someone says “it’s all about the numbers”, I can tell you from having helped hundreds of families, after it’s all said and done, it’s those things that can’t be measured with a decimal point or a dollar sign have the greatest impact – safety, security and peace of mind. So simple, why do we shy away? Is it something in our makeup that has us programed to try to maximize every opportunity? Are we still being measured by some unseen teacher or supervisor where the outcome has to be optimized, or we don’t move at all?

Fear. Fear of the unknow.

For so many today, the information world that surronds us does little to bring the benefits one might imagine. News is so instant, so broad… we feel a tragedy from some distanct corner of the country or globe as if it were right next door… the path of war seems to be almost at our doorstep daily… wildfires… a lost child… And then there is the market, stocks go up, stocks go down, we know we haven’t lost a dime until we go to cash out but oh how that ticker can color our mood with ovetones that reach into our very psyche.

Let us pause and realize that life isn’t what we see printed on a ballance sheet, life isn’t the sum of every issue from every corner… life is here, right now, it’s very real, and we have a choice.

Fear. Fear can be overcome. Simply. Easily. By education. By action. By knowing that we’re never going to be perfect, nor do we need to be.

Safety, security, peace of mind…  yes, it’s that simple.


Do I still qualify?

Many people ask me today if now is a good time to do a Reverse Mortgage… and so many have been putting their decision off, for years. My question back to them is “why wait?” We have to realize that the use of the FHA HECM is not a long term financial strategy (we’re not spring chickens!). We don’t have the luxury of youth, time is no more precious than it is for us (I’m a senior too!) than anyone. This solution cannot be looked at the way we may have when we were all in our 20’s and 30’s and thirty year mortgages were easy to plan around.

In fact most people are surprised to learn that the average length of term for the FHA Home Equity Conversion Mortgage is just 7 years. This may seem rather short, but again, remember that thie program is restricted to those homeowners who aren’t just starting out, for many, this may be the last major financial decision they make.

So, back to the question… ask yourself, are you as comfortable in retirement as you had envisioned? Or maybe you’ve had to put off retirement plans because of financial reasons? Are you putting of important dreams or responsibilities because of financial concern?

If the answer is yes to any of these then again, my question…”Why Wait???” If it is because of the drop in your homes value and you’re thinking of waiting until values come back to where they were a few years ago, I’m sorry to tell you but we might not live long enough to see values that we saw in the early to mid 2000’s! But not to worry, if values should take a miracules jump in the next few years… any gain in equity will be yours or your heirs! In the meanwhile interest rates are at record lows… And HUD has introduced two FHA HECM Saver programs, both with either a Fixed Rate option or a Variable Rate with dramatically lowered costs. The Saver is designed for those who don’t need to have access to the maximum amount of value in their homes and can be a great fit for many who were put off by seeing the FHA Insurance costs of traditional HUD Reverse Mortgages.

In fact, you may never have a better time to consider taking advantage of the FHA Reverse Mortgage than right now!

If you’d like to see what you qualify for I would be happy to send you a confidential summary of what this might look like for you. Simply complete the form below and you’ll receive your free Reverse Mortgage evaluation… and don’t worry, your information will remain confidential, we don’t sell or share your email or info with anyone… period

Senate Passes FHA Reform

The The Expanding American Homeownership Act FHA Reform bill passed was Friday by the full US Senate.

The bill passed 93-1 and cuts in half the required down payment for FHA first time homeowner programs.

This bill Expands the FHA Home Equity Conversion Mortgage (HECM) Program maximum loan limit to a national level of $417,000 the current Fannie Mae loan limit, and lowers origination fees from 2% to 1.5%

While the bill has some process to go through before it becomes law, it may become law shortly before or after the new year.


The FHA Bill could be passed within the next eight weeks.

The FHA Bill could be passed within the next eight weeks.

How the Reverse Mortgage Credit line works

A reverse mortgage pays off current liens on a seniors home, and other equity that is left over is available to the senior in the form of a credit line.

The equity that is available in a credit line grows each year. The growth for the FHA reverse mortgages is half a percent higher than the current rate for the loan. So if the rate of the loan is 4.75%, the growth-rate of the credit line is 5.25%.

Because of this, a higher rate loan might be more appealing to a senior with a large initial credit-line. The difference in growth over the life of the loan is something to seriously consider.

Credit lines can be used for anything, and the money is tax free.

Bank of New York is now EverBank

Back in March 2007, Bank of New York Co. had relinquished its 49 percent stake in reverse mortgage lender BNY Mortgage Co. to majority partner EverBank Financial Corp. As Everbank is a privately held company, this transaction took place for an undisclosed price.

In Early November 2007, Bank of New York officially started doing business as Everbank. EverBank is based in Jacksonville, Florida

Reverse Mortgage – When home repairs are necessary

Occasionally a real estate appraiser will notice that some repairs or further inspections are necessary, such as a foundation, electrical, or roof inspection.  When further inspection requires repairs, the loan will fund, and one and a half times the amount of the repair estimate(s) will be withheld until those repairs are made.

After the repairs are made, and certified as complete by the repair inspector, the bank will issue a check directly to the repair company.