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Cerritos Reverse Mortgage Question - What’s the Loan To Value on a Reverse Mortgage?I get this question all the time. I know that most folks are hoping to hear a number from me like 60%, 80% even 100% of loan value, but that’s just not the way it works.The loan amount (or principal limit) on a reverse mortgage is based upon a formula provided by HUD which factors in three elements: AGE, HOME VALUE & EXPECTED RATE.AGE - The age of the youngest borrower is used in the formula as a factor. All borrowers must be over 62, but an older … (2 comments)
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