Home Equity Conversion Mortgage (HECM)
Questions and Answers Latest 2024 -2025
(Verified 100% correct Answers)
Must be 62 or older, own property or have it almost paid off, no federal debt delinquency, be
able to pay your own taxes, insurance and association fees, participate, in HUD consumer
information session. Loan amount bases on age of the youngest borrower, current interest rate,
lesser of appraised value/ 625k, and initial MIP (.5 OR 2.5%) - ✔✔Home Equity Conversion
Mortgage (HECM)
- ✔✔Tenure
equal monthly payments for fixed time period selected - ✔✔Term
homeowner draws money as needed up to limited amount - ✔✔line of credit
combo of line of credit and scheduled monthly payments as long as borrower is in the home -
✔✔modified tenure
combo of line of credit and fixed payments for a specific time period - ✔✔modified term
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