Our Texas Reverse Mortgage Options
Our team can assist you in finding reverse mortgage loans that meet your needs, whether you need them to pay for medical expenses or make critical home repairs.
Texas Reverse Mortgage Loan Process
We guide reverse mortgage borrowers each step of the way through a simple and streamlined process.
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Get a quoteUnderstanding Texas Reverse Mortgages and Their Benefits
Also known as a Home Equity Conversion Mortgage (HECM), reverse mortgage loans are a way to borrow against your home equity. They are available for Texas homeowners older than 62, and generally, you must have a low mortgage balance or own the home outright in order to qualify.
Benefits of a Texas Reverse Mortgage
A senior Texas homeowner might find that their fixed income doesn’t cover all their needs, especially with the rising cost of living.
A reverse mortgage is unlike traditional mortgages, where you pay the lender. Instead, with a reverse mortgage, the lender pays you. A reverse mortgage borrower can borrow against their home’s equity, and use the loan proceeds to cover their urgent financial needs or future expenses. Your lending limit is determined by the current market value of the home and age of the youngest borrower, meaning you may have significant home equity to use.
You have flexibility in how you receive your reverse mortgage loan: you may choose a lump sum payment, a monthly payment, or a line of credit to use as necessary. Whether you need help managing daily needs or want to undertake a large renovation project, such as making your home more accessible, you can select the reverse mortgage type that best suits your needs.
How Does a Texas Reverse Mortgage Work?
With reverse mortgage loans, the borrower receives payments from the lender, either in a lump sum payment or as monthly payments. You may also choose to accept your reverse mortgage funds as a line of credit, meaning that you draw down funds as needed rather than getting regular payments.
It’s important to note that you will still need to pay property taxes, homeowners insurance, and other expenses associated with the home. As you are not making monthly payments, you’re not paying off the existing mortgage balance, which may mean that you have a significant loan balance to cover if you choose to sell the home.
Additionally, reverse mortgage applicants who intend to use the Home Equity Conversion Mortgage (HECM) provided by the Federal Housing Administration (FHA) must receive loan counseling and a financial assessment from a HUD-approved counselor.
The Department of Housing and Urban Development (HUD) is a branch of the federal government that seeks to protect senior citizens from predatory Home Equity Conversion mortgages. In this program, you’ll learn how to recognize a reverse mortgage scam and ensure that you understand all the stipulations involved with a reverse mortgage.
These counseling programs are offered by local government agencies and non-profit organizations in partnership with HUD.
Why Choose Arnaiz Mortgage for Your Texas Reverse Mortgage?
Arnaiz Mortgage is committed to helping our customers find a loan servicer that suits their financial needs. We’ll guide you through all your options to ensure you’re confident in your decision to get a reverse mortgage, explaining the benefits and drawbacks of this unique mortgage product. Additionally, we’ll review the available lenders and work with you to find a rate that works for you.
We strive for great communication and trust with all our customers. We believe that feeling comfortable with your mortgage broker is key to having a great loan experience. You can contact us with any questions you may have throughout the process, and we’ll offer helpful advice to demystify the process for you.
