Reverse Mortgages in Utah
What is a Reverse Mortgage?
The FHA Insured Reverse Mortgage (also known as Home Equity Conversion Mortgage) will provide you with an opportunity to convert part of the equity in your home into usable cash. These loans are similar to a traditional home equity loan while also allowing you to keep your home title without making extra monthly payments. Many senior citizens choose to use a reverse mortgage after retirement to live more comfortably and remain in their home.
Reverse mortgages provide solutions so that you can spend the extra cash to enjoy your retirement. With an HECM you’ll have the funds to travel, repair and renovate your home, invest in quality healthcare, and engage in many other activities doing the things you love with the people you love!
How Does A Reverse Mortgage Work?
Homeowners 62 years or older that qualify for a reverse mortgage in Utah will need to keep their property in good repair and remain current on their property taxes, homeowner's insurance, and HOA dues. If you do so, you can own and stay in your home for as long as you choose. You can remain in your home and retain the title without making any more monthly mortgage payments.
Additionally, you or your heirs will retain 100% of any excess equity upon the sale of the home. If one owner permanently moves out or passes away, reverse mortgages also give your heirs options to either sell the home and receive remaining balance, or pay the balance owed in order to keep the house. Still have questions?
Utah’s Reverse Mortgage Requirements
There are requirements to a home equity conversion mortgage and it is beneficial to know them before you decide if a reverse mortgage is right for you. Utah’s reverse mortgage requirements are:
- Youngest borrower must be 62 years of age.
- The property must be the homeowner’s primary residence.
- The home must meet standard FHA appraisal guidelines.