Buy a new home using the HECM for Purchase.
Traditionally a Reverse Mortgage has been used to refinance the home you already own. With changes in recent years, HUD created the HECM for Purchase program which makes it possible to use a Reverse Mortgage to purchase a new home. This change is becoming very popular and many Americans are taking advantage of the program to relocate, downsize or upgrade to a better home.
Very often what happens is a couple will sell a home in a high-priced area such as Las Vegas or Southern California. With the proceeds of selling their old home, they will buy a new home in a lower-priced area like St George or Cedar City Utah. Many people are finding Southern Utah to be an incredible place to relocate and a HECM Reverse Mortgage is the perfect tool to do so.
The benefits of doing a HECM for Purchase include:
- Owning your dream home free of payments
- Ability to relocate to a better city and neighborhood
- Ability to buy a home that better suits your changing needs
- Utilizing only a fraction of the money needed to buy the home outright
So instead of paying cash for the home to avoid mortgage payments you simply use a portion of your money for a down payment on a Reverse Mortgage and you enjoy the same benefits.
The required down payment for a HECM for Purchase is generally around 35%-50% of the purchase price depending on age and circumstances. By only putting this reduced amount down you are free to use the remaining proceeds for anything you want, such as investments, future reserves, vacations, or that sports car you’ve always dreamed about.
If you or someone you love could benefit from a HECM Reverse Mortgage to purchase a new home call me today to answer your questions.
Trevor Carlson
HECM Reverse Specialist
Heritage Reverse Mortgage
435 215 1883
trevor@heritagehl.com
Company NMLS 1497455 Trevor Carlson’s NMLS #: 267962