Cedar Heights, CT Reverse Purchase Mortgage

Cedar Heights, CT reverse mortgages are a great way for seniors to access the equity they have built into their homes. Thanks to recent legislation, seniors can now use a reverse mortgage loan to buy a home they do not own through a unique FHA-backed home loan.

The Home Equity Conversion Mortgage (HECM) in Cedar Heights, CT was designed to make it easier and more affordable to seniors to buy a home. Instead of buying a home with a traditional mortgage, paying closing costs and then taking out a reverse mortgage on the home with an additional set of closing costs, the HECM program allows you to combine all of this into a single transaction.

Ways to Use Reverse Mortgage Purchase in Cedar Heights, CT

There are several ways you can use the HECM program to buy a new house:

• Use a forward loan and repay it with a reverse loan. With this option, you get a standard mortgage to buy the home, then repay it with a reverse mortgage. You will need to pay two sets of closing costs.
• Pay in cash, then get the reverse mortgage. Some seniors prefer to pay for the new home in cash and use an HECM loan to replace their savings.
• Buy with a reverse purchase loan. Finally, you can choose to buy the new property with an HECM reverse loan which means one set of closing costs. You will need to pay the difference in cash between the loan amount you can receive and the sales price, plus your closing costs.