Florida Reverse Mortgage Program

Learn about the HUD backed Reverse Mortgage Program for seniors

Florida Reverse Loan Overview:

  • Tap into the existing equity of your primary residence.
  • Eliminate your monthly mortgage payment.
  • Must be 62 years old or above.
  • No credit or income requirement.
  • Can be used for multiple types of property.
  • Designed for primary residence only.
  • HUD backed and also a Conventional version.
  • Lower cost compared to similar, non-FHA loans

Current home owners of at least 62 years of age, may be eligible to apply for the HUD backed reverse mortgage program. This type of loan allows the homeowner to borrow against the equity they have in their home WITHOUT making a monthly principle and interest mortgage payment.

Those who qualify may receive a set monthly payments based on a fixed time period OR for as long as they reside in the property. Homeowners may also elect to receive a lump sum cash payment or receive occasional payments in the form of a line of credit. Homeowners can elect to adjust the method they receive payments and can refinance out of the Florida reverse mortgage at any time in order to better meet a change in financial circumstances.

Mortgage amounts for a FL FHA reverse mortgage are based on the age of the youngest Senior citizen, with the minimum qualifying age being 62 years of age. Your interest rate and the amount you're eligible to borrow for a reverse mortgage is based upon the appraised value of the property or the HECM FHA mortgage limit, which ever is lowest.

Because reverse mortgage borrowers are not required to make monthly mortgage payments, there are no income requirements to qualify. This means that the eligible borrower is not required to have an income or a credit score in order to obtain the loan. No loan repayment will be required of the recipient as long as the property remains their principal residence. Lenders recover the money they lend (principle & interest) from the sale of the home. The remaining equity balance of the home when sold is then given to the homeowner, spouse or the estate of the borrowers. This program means borrowers are exposed to very minimal risks. In the event that the home sale proceeds are not enough to cover the amount owed, HUD will pay the remaining balance of the reverse mortgage and the borrowers estate will not be required to pay/cover any deficiency. This is made possible by an insurance premium that the FHA collects from all borrowers who enrolled in the Florida reverse mortgage program.

Closing costs for a FL reverse home loan may be rolled into the full mortgage amount. Unlike other reverse mortgage loan programs, choosing a FHA HECM will guarantee that the title of the home will remain in your name.

Reverse Mortgage Qualification Requirements

To be eligible for an FHA reverse mortgage, seniors must:

  • Be at least 62 years of age.
  • Currently have a home which is FHA home loan eligible.
  • Have sufficient equity in your home.
  • Occupy your home as a primary residence.
  • Condos/PUD's must be HUD approval, single family home, or 1-4 unit home with owner occupying one unit.
  • Manufactured homes may be eligible as per FHA requirements.
  • Enroll in a consumer information session administered by a HECM counselor.

If you have any further questions, please call Sherry Greenwald at 1-561-271-1611 or use our quick quote.