Fairway Independent Mortgage will walk you through the eligibility requirements for a reverse mortgage in addition to helping you understand how much money you can receive from a reverse mortgage. No one can borrow 100 percent of their home equity, there are regulations on how much a person can borrow. A reverse mortgage balance can increase over time, so you can have problems with borrowing too much of your home’s value. Typically a principal limit factor (PLF) is used to determine the amount of money you can borrow. Contact our office to obtain information about your PLF. Here are some elements that factor into the amount of money you can borrow:
- age of the youngest borrower,
- the type of reverse mortgage selected,
- the appraised value of home,
- current interest rates, and
- a financial assessment of willingness and ability to pay property taxes, homeowner’s insurance and maintain the home.
It is important to note that the available amount will grow as the borrower ages and the property value increases. Contact our office for a no-obligation reverse mortgage consultation and to discuss the offers available for your situation.