FHA/HECM Home Equity Conversion Mortgage - ADJUSTABLE RATE
HECM PROGRAM SUMMARY
Maximum FHA Loan Limit
$625,500
Eligible Property Types
Owner-occupied single family homes,
1-4 unit homes that you own and occupy, townhouses, some manufactured homes are eligible. FHA-approved Condominiums.
Special Features
Federally insured program
Interest Rate
Based on 1-year US Treasury Bill or the Libor, plus margin; adjusts monthly or annually.
Interest Rate Lock
Life cap of 10% above start rate.
Payment Options
Lump sum, line of credit, monthly income for a fixed term or as long as you live in your home, or combination.
Line of Credit
Line of credit balance grows.
Non-Recourse
Yes - Lender can never require more repayment than the current market value of the home when it sells.
Mortgage Insurance Premium
Government guarantees homeowner has access to funds if loan issuer goes out of business; Homewoner never owes more than the current value of the home.
Counseling
Approved HUD/FHA counseling required.
Loan Processing
Processed by originating company.
Underwriting
Sreamlined process.
Not all products and options are available in all states. Terms subject to change without notice.
In California, loans will be made or arranged under a CA Dept. of Real Estate, real estate broker license #01345752.
