Debt Consolidation

Custom Search
 

Debt Consolidation
Debt Relief
Mortgage
Credit
Bankruptcy
Mortgage Loans -
Second Mortgage /
Reverse Mortgages -
2% Rule
Solutions For Bad
Home Improvement Loans
Mortgage Loans After
Bad Credit Mortgage
Mortgage Q&A: What
How to Get
You Can Get
How You Can
Mortgage Options
Get a Better
Save Thousands on
The Way to
Getting to Know
Adverse Credit Mortgage
Buying a Home
Online Mortgage Calculators:
Buying a Home
Mortgage Loans -
The Hidden Influence
The Tangled Web
20 Percent Down?
Mortgage Refinancing May
Bad Credit Mortgage
Foreclosure - Dodging
Buying a Home
What Seniors Should
The Risky Gamble
Fixed Rate Mortgage
How to Obtain
Home Equity Loans
Bad Credit Home
Sitemap
Debt Consolidation
Debt Relief
Mortgage
Credit
Bankruptcy
 
Reverse Mortgages More Favorable in '06
by Jim Woodard
Senior homeowners can obtain a more generous reverse mortgage loan in 2006 than ever before meaning they can convert a greater portion of the equity in their homes into tax-free income using one of these special mortgage plans. The new rules aff

Senior homeowners can obtain a more generous reverse mortgage loan in 2006 than ever before meaning they can convert a greater portion of the equity in their homes into tax-free income using one of these special mortgage plans. The new rules affect the federally insured Home Equity Conversion Mortgage (HECM) and the Fannie Mae Home Keeper reverse mortgages. About 90 percent of all reverse mortgage sales have been HECMs (insured via FHA).

Also, the U.S. House of Representatives recently passed legislation lifting the cap on the number of HECM reverse mortgages that can be issued -- those that are insured by the Department of Housing and Urban Development (HUD). This legislation is still pending. There are now about 150,000 HECM mortgages outstanding. Lawmakers are very aware of the increasing popularity of reverse mortgage plans with senior homeowners.

Simply stated, a reverse mortgage is a means of tapping the equity in a home to generate a stream of addition monthly income for the owner. This income can continue until the homeowners sells or moves away from the home, or dies. As an alternative plan, the homeowner can receive a lump sum, activate a line of credit, or contract for a combination of these plans. The reverse mortgage is usually funded by a lending institution such as a mortgage lender, bank, credit union or savings and loan association. The borrower must be at least 62 years of age, own and occupy their home, and (in the case of HECMs) must participate in a consumer information session offered by an approved HECM counselor.

As for the increase amount of funds available this year, the HECM product varies by geographic area. The highest of the loan limits will grow from $312,896 to $362,790. These figures apply to most metro areas. Fannie Maes loan limit for single-family home mortgages, including its Home Keeper loans, have risen to $417,000 from last years $359,650.

Copyright 2006 TheLowQuote

Jim Woodard Syndicated real estate columnist and feature writer
Mortgage / Real Estate Update Report
http://www.TheLowQuote.com

 
The site is not responsible for any content in it. E-mail: alldir[at]gmx[dot]com
debt consolidation, home loan, mortgage, debt free, debt help, refinance, equity loan, unsecured, secured debt, bankruptcy, credit card , bad credit, payday, cash advance, cash settlement, line of credit, student loan, interest rate, borrow money, car loan, adverse credit, compensation, quote, credit score, consolidate debt Apache Junction city (pt.) Dalton Wayne township Ava Orleans town Spring Lake Heights borough Model township Balfour Emerson borough Black Springs town Orderville town Carol Stream village (pt.) Bostic town Balance of Concord township Balance of Wadena County Haralson town Malvern town Moses Lake Cotter North Haven town Iona Taos Ski Valley village Meadville Collinsville city (pt.) Wethersfield township Sammamish Bell town Mooresville town West Pike Run township White Pigeon village USA UK Australia Canada Japan United Arab Emirates Zimbabwe Saint Martin Wallis and Futuna Ashmore and Cartier Islands Portugal Montenegro Gibraltar Jordan Hertfordshire Carmarthenshire Inverness-shire Worcestershire Cumberland Hampshire Brecknockshire Staffordshire Buckinghamshire Westmorland Rhode Island (RI) Nebraska (NE) South Dakota (SD) Delaware (DE) Virgin Islands (VI) Arizona (AZ) Missouri (MO) South Dakota (SD) Mississippi (MS) Arkansas (AR) Virginia (VA) Kansas (KS) Virginia (VA) North Dakota (ND) Indiana (IN) Missouri (MO) Idaho (ID) Marshall Islands (MH) Kansas (KS) Oklahoma (OK)