Jumbo Reverse Mortgage
The traditional Fannie Mae or FHA reverse mortgage programs have loan size limits. The jumbo reverse, which starts at loan amounts of at least $500,000 offer borrowers more cash from larger sized homes. Although most all reverse programs work the same, with only a few minor differences, this type of mortgage really just offers larger loan sizes.
The qualifications for a jumbo program is still the same. It is a property based mortgage not a credit or income based approval. So if you meet the age restrictions of 62, the home is your primary residence, and you own very little or nothing on your mortgage, then you may qualify. The older you are the more cash you can take out from your reverse mortgage.
Disadvantages of Reverse Mortgage
- Disadvantage of large mortgage amount to pay back
- Mortgage based on adjustable interest rate subject to market conditions