Posted on: 12th Sep, 2012 07:57 am
Can someone purchase a house with a reverse mortgage with a life estate - putting her children as remainderman? Eventually children want to obtain their own mortgage and pay off the reverse mortgage
welcome patty,
if you want to take out a reverse mortgage, you will have to be 62 years old. unless you meet this criteria, you won't be able to qualify for a reverse mortgage. so, i think it might be difficult to place the children as the remainderman. the person may draft a will and declare the children as beneficiary so that after the person's death, the children can probate the deed and get the property transferred to their names. then they can even refinance the reverse mortgage to a normal conventional loan in their names.
if you want to take out a reverse mortgage, you will have to be 62 years old. unless you meet this criteria, you won't be able to qualify for a reverse mortgage. so, i think it might be difficult to place the children as the remainderman. the person may draft a will and declare the children as beneficiary so that after the person's death, the children can probate the deed and get the property transferred to their names. then they can even refinance the reverse mortgage to a normal conventional loan in their names.
Hi Patty!
Welcome to forums!
I don't think it is possible to put the children as remainderman if the property has a reverse mortgage on it. Before taking any step, it will be better to take the opinion of a real estate attorney and the lender.
Feel free to ask if you've further queries.
Sussane
Welcome to forums!
I don't think it is possible to put the children as remainderman if the property has a reverse mortgage on it. Before taking any step, it will be better to take the opinion of a real estate attorney and the lender.
Feel free to ask if you've further queries.
Sussane
Yes, you can purchase or refinance a home with a Reverse Mortgage with a Life Estate, and the remaindermen don't have to be 62 years or older. Additionally, if you already have a Reverse Mortgage, you can put it in a Life Estate, without problems, even if the remainder people aren't 62 yet.
