Talking with a broker sales manager for a big name real estate company and after our chat he told me. Dang! “Ya just don’t know what ya don’t know!” I had spent the last half hour going over the HECM For Purchase Program with him because one of my buyers saw his sign on a listing and wanted this broker to represent him in finding a home in that neighborhood. The broker was concerned as he’d never heard of using a reverse mortgage for purchase and really never did like reverse mortgages.
I brought him some literature and proceeded to give him a mini presentation on the FHA HECM (Home Equity Conversion Mortgage) also known as a reverse mortgage. I went over the down payment requirements (based upon age), the credit requirements (no minimum credit score required), the income requirements (none*) and the time required for processing the loan (30 to 45 days). We also went over the type of supporting documents, lender requirements regarding concessions and repairs, and just everything he would need to know to put together an offer that a seller would love to get.
The biggest obstacle we both saw was that many agents and brokers would be just like he was when we began our conversation, negative on the reverse mortgage. That’s when he said, “Ya just don’t know what ya don’t know!” Then he asked me to schedule a class for his agents on the HECM For Purchase, so that they can learn what they don’t know.
I brought him some literature and proceeded to give him a mini presentation on the FHA HECM (Home Equity Conversion Mortgage) also known as a reverse mortgage. I went over the down payment requirements (based upon age), the credit requirements (no minimum credit score required), the income requirements (none*) and the time required for processing the loan (30 to 45 days). We also went over the type of supporting documents, lender requirements regarding concessions and repairs, and just everything he would need to know to put together an offer that a seller would love to get.
The biggest obstacle we both saw was that many agents and brokers would be just like he was when we began our conversation, negative on the reverse mortgage. That’s when he said, “Ya just don’t know what ya don’t know!” Then he asked me to schedule a class for his agents on the HECM For Purchase, so that they can learn what they don’t know.
Now this broker’s a convert and is even thinking about getting a reverse mortgage himself to payoff his own home so he can live there without payments, and keep the money he collects on his free and clear rental properties. He’s just moved his retirement up a couple of years!
*buyers who are retaining an existing home for rental or vacation property must prove sufficient income to cover the property taxes, insurance and maintenance on both homes.
*buyers who are retaining an existing home for rental or vacation property must prove sufficient income to cover the property taxes, insurance and maintenance on both homes.
Comments(8)