Most seniors want to stay in their homes, and seniors want to get their reverse mortgages from a bank. Feel secure, feel confident - choose 1st Constitution Bank.
What is a reverse mortgage?
The Home Equity Conversion Mortgage (HECM) is FHA's reverse mortgage program that provides for seniors to withdraw some of the equity in their homes. The HECM is a safe plan and it can provide greater financial security, peace of mind, and independence. Seniors can use it to provide for their retirement, meet unexpected medical expenses, travel, do estate planning, make home improvements and more.
How do I qualify?
All borrowers must be 62 or older, you must own your own home (house, condo or 1-4 unit dwelling) either mortgage-free or with a low enough mortgage that it can be paid with the proceeds of the reverse mortgage, and you must maintain the property as your principal residence.
How much money do I get with a reverse mortgage?
The amount you can borrow depends on
- The age of the youngest borrower
- The current interest rate
- The appraised value of the property
- The choice of products either with or without the Initial Mortgage Insurance Premium
How can I receive my money?
The payout options depend upon the reverse mortgage product that you choose. Be sure to discuss your objectives with an experienced reverse mortgage loan officer to find the best product and payment option for you.
- Tenure payments – equal monthly payments for as long as at least one borrower remains in the property
- Term – equal monthly payments for a set amount of time
- Line of credit – take what you need when you need it, up to your total reverse mortgage proceeds
- Lump sum – the entire proceeds paid out at once
- Combination – a mix of options. For example, half of the amount of the monthly tenure payments and a line of credit for the remainder.
What are the most common questions?
- Does the bank own my home? No, the bank does not own your home; it is yours. The reverse mortgage is a loan based on your home.
- Can I owe more than the home is worth? No, a HECM reverse mortgage is a non-recourse loan. The mortgage insurance pool to which borrowers contribute will pay the difference if, when you leave the home, you owe more that it is worth. This protects you and your heirs
- Are there monthly payments? No, the idea of making monthly payments is contrary to the basic concept of a reverse mortgage.
- Can I be thrown out of my home for non-payment. No, there are no monthly payments. However, you must maintain the property and continue to pay your homeowners insurance and your property taxes.
Meet the team
Richard Eakins
Reverse Mortgage Loan Officer NMLS #523001
1246 South River Rd. Cranbury, NJ 08512
Serving NJ, PA, NY & DE
(888) 519-7677 Ext. 5850
(908) 672-3320 Cell
reakins@1stconstitution.com
Maragret Harkness
Reverse Mortgage Loan Officer NMLS #413519
180 Main St. Ft. Lee, NJ 07024
Serving the Northeast
(888) 519-7677 Ext. 4492
(201) 650-7671 Cell
(609) 235-0663 e-Fax
mharkness@1stconstitution.com
Harvey Friedman, Esq
Reverse Mortgage Loan Officer NMLS #813791
10 Cutter Mill Rd. Great Neck, NY 11021
Serving NY
(888) 519-7677 Ext. 665
(516) 303-1665 Direct
(516) 627-4191 Fax
Harvelaw@aol.com
Dawn Fialk
Senior Processor
1246 South River Rd. Cranbury, NJ 08512
(888) 519-7677 Ext. 4444
(609) 578-4444 Direct
dfialk@1stconstitution.com