Reverse Mortgage Refinance Guide
Reverse mortgages are a great way for seniors who own their homes to have an extra source of income later in life. Many resources are available to help people get started with a reverse mortgage, but there are not many resources for borrowers who already have reverse mortgages to refinance them. There can be a number of reasons why you would seek a reverse mortgage refinance, and it is important that you make the same careful study of the process that you used when you first opened your reverse mortgage.
This page will help guide you through the why and the how of the reverse mortgage refinance process. Borrowers in California, Pennsylvania, and Florida can contact Citizens Lending Group today to get answers to their reverse mortgage refinance questions or to learn about other reverse mortgage requirements.
How a Reverse Mortgage Refinance Can Help You
Major life changes and financial changes can be key times to look into refinancing your reverse mortgage, and it is best to work with someone who knows all about reverse mortgages when you begin this process. For example, it is common to start the reverse mortgage refinance process when the value of your home increases. You can gain access to more of the equity which allows you to have a larger loan. Additionally, it is possible to receive a lower interest rate or to move from a variable rate reverse mortgage to a fixed rate. You may also refinance to move your reverse mortgage from a private program to an HECM, backed by FHA. All of these changes are related to the financial aspect of your reverse mortgage and generally will help you make more money on your home's equity or save money in interest payments when you sell your home.
Additionally, life changes such as the need to add or remove a borrower to your mortgage make another good time to start the reverse mortgage refinance process. The case may be that you can receive better terms for your reverse mortgage when a borrower on your original loan changes their status. You may even be given access to a higher loan amount as you grow older. Changes like this are common and usually result in more money available to the borrower after the reverse mortgage refinance is complete.
The Reverse Mortgage Refinance Process
The process of refinancing is not that much different from closing on your original reverse mortgage. Your house will be inspected for its value, and you will have to provide financial information about all borrows. Throughout this process, you will be supported by a licensed reverse mortgage lender and in the end your original reverse mortgage will be closed and your new one opened. You will receive the difference of the two if you are refinancing to receive more of your equity.
Contact Us Today to Start a Reverse Mortgage Refinance
In California, Pennsylvania, and Florida, get in touch with Citizens Lending Group today to learn about reverse mortgage requirements and how they apply to the reverse mortgage refinance process or to get started on your reverse mortgage refinance.