The Home Equity Conversion Mortgage (HECM) is a new FHA insured reverse mortgage that can benefit Toledo, Ohio area seniors wanting to downsize into a more suitable retirement home by allowing them to purchase a new home with a reverse mortgage in one closing transaction and have no monthly mortgage payments. The program is a little hard to understand though.  Let me list the features...

• A homeowner would sell an existing home and put part of those proceeds into a new home combined with 1/3 to 1/2 the cost of the new home from the HECM Reverse Mortgage.  Or pay for the new home outright and receive monthly payments like how the older reverse mortgage program worked.
• The homeowner can live in the home until they pass away, move or sell the home.  Then, the reverse mortgage is repaid and it would not be more than the sale value of the home. 
• If a home would eventually sell for more than the amount of the reverse mortgage, fees and accrued interest, the balance stays with the seller or estate.
• People need to be 62 years of age to qualify, but no income or credit score restrictions apply.
• HUD financial counseling is required to make sure people understand this type of loan and understand if this is their best financial option.

Please give me a call at 419-654-0059 if you'd like more information on the HECM and a referral to a local lender working with this program.