What is Reverse Mortgage

If you have ever watched the ever-increasing late-night TV commercials showing celebrities endorsing Reverse Mortgage products, you have probably been left more confused about what it all entails than if you had never seen these vague explanations in the first place.

A HECM (Home Equity Conversion Mortgage) is a multi-faceted mortgage product available to homeowners aged 62 and over.  The general overview given in response to consumer inquiries is that a reverse mortgage allows you to borrow against the equity in your home while you still reside in it, and that the loan is not payable until all homeowners have left permanently or passed away.  The HECM program is insured by HUD through the Federal Housing Administration (FHA).  It is a unique and specialized program and therefore, it is not offered as a product by most mortgage lenders.  This is why specialists in the program, such as we at New Mexico Reverse Mortgage, are uniquely qualified to guide the client to the best possible program for their situation.

The process is extensive, including in-depth education and explanations of each program’s pros and cons.  It can be used to pay off existing mortgages and liens, as well as to acquire excess cash for home improvements, vacations, or any other purpose for which you may wish to use your proceeds.  It is suggested that in inquiring about the various programs, you work with a trusted and experienced professional to ensure you are properly educated about the options available.  New Mexico Reverse Mortgage is the premier resource for such professional assistance in the Albuquerque Metro area.