Reverse Mortgage for New Construction
A Guide for Real Estate Developers
By All Reverse Mortgage Company®
At All Reverse Mortgage®, we're looking to partner with you through education of the reverse mortgage purchase program that will allow borrowers 62 and over purchase their perfect retirement home - in YOUR project. We have assisted many developers with Reverse Mortgage for purchase buyers which has helped buyers and developers alike. This opens up many new opportunities and potential buyers for you and that equates to sales!
Request Your Free Information Kit
from All Reverse Mortgage
(Kit will be mailed to the address specified below)
Why is this market important?
Approximately 57% of Baby Boomers, adults ages 49 to 67, say they plan to move out of their current homes during their retirement years, according to a recent survey
from Better Homes and Gardens Real Estate.
With approximately 77 million Boomers in the U.S., it's quite significant for our industry to see that this population has so much positive anticipation for the home in which
they will be retiring - and for the majority; their aspirations involve making a move.
Whether it's to upsize, downsize, relocate to a different city or state, a reverse mortgage to purchase is a viable option for the
mainstream retiree who needs to conserve cash for their retirement needs.
Breaking Down the Reverse Mortgage for Home Purchase Program:
Simply put, you bring in a substantial down payment based on your age (Approx. 45-50%) and make $0 Mortgage Payments FOR LIFE. In a way you're
essentially purchasing your home for the down payment. Take a second and think about the possibilities here.
You can buy a new home, have no monthly mortgage payment... without paying 100% cash up-front and conserve your liquid assets. #gamechanger
Why Are These Clients Perfect For You?
- Since the borrowers won’t be required to buy with all cash, they will be able to afford a larger, more expensive home or a more upgraded property than if they were buying without utilizing a Reverse Mortgage.
- Larger profit margins on your transactions. The Reverse Mortgage guidelines prohibit any 3rd party concessions of any kind. You will never be asked to provide a concession, credit or pay for any of the buyers fees.
- Due to the program requiring a larger than typical down payment percentage, these borrowers have large amounts of liquid reserves making them highly qualified purchasers and their deals are less likely to fall through.
- New construction projects are very appealing to retirees due to the homes having lower maintenance costs on average and more energy efficiency.
Recent Success Stories:
1. Elianna (relocation case)
Last month I had the pleasure of making Eliana's retirement destination come true. She lived in a modest home in the state of Colorado and had contacted me several times on a possible
reverse mortgage to help her supplement her income. After a couple conversations I realized it wasn't the reverse mortgage terms that had her "on the fence"
but rather her desire to move from out of CO.
She got to tell me about how she grew up in CA and loved PCH coast, she hates the cold but just couldn't afford to buy back in our sunny state.
I immediately saw the need for the "Reverse Mortgage Purchase" and it turned to a holistic approach. This is a multi-success story because not only
was Elianna able to relocate to her hometown, she closed on a condo in Laguna Niguel requiring no mortgage payments, she also had sub-par credit.
(The reverse mortgage for purchase currently requires no income and no credit score requirements).
Even if she had sufficient income or credit this sale would never have happened without the use of our program because this loan fit her needs perfectly.
2. Myra & Billy (downsizing case)
Myra and Billy lived in a two story townhome in Fort Myers, Florida. Billy had suffered back injuries and could no longer manage the stairs so they decided that they needed to
downsize and purchase a single-story home. They sold their home and were preparing to purchase a new home when Myra found that the company with whom she thought
she had gotten her financing all settled informed her that they could not close the loan. In a panic, Myra started looking for a company who advertised that they could do
reverse mortgage purchases and contacted All Reverse Mortgage.
We sent Myra and Billy an application at the very end of May and Myra was concerned that we would not be able to meet the July 1st closing deadline on her new home
due to the previous delays. Myra was beginning to panic by the time she came to All Reverse because she had already sold her existing home, she was still working, her
husband was injured and she was worried that she would lose her deposit on the new home and soon have no place to live. Not only did the loan close quickly and
smoothly for Myra and Billy, but they were in their new home, on time, they only had to use a portion of the funds from the sale or their previous home and they did it all
without a monthly mortgage payment. Myra was so happy, she volunteered to tell her story to anyone who wanted to know how well this could turn out and in fact,
was interviewed by Kiplinger for their national news article on retirement and purchase reverse mortgages (Kiplinger Article)
. We can all use such happy
customers who want to share with others their great success with a program that does so much for them.
Q: What is the down payment required?
Q: What are acceptable sources for the down payment?
Q: What Property types are eligible?
Q: What are the credit or income qualifications?
Q: What happens to the home after death?
Q: What are the homeowner's responsibilities?
Q: What can seller pay for or credit to buyer(s)?
Let's Work Together!
Give us a call at (800) 565-1722
or Complete the form below to receive your free information kit.
We'd love to help educate you and your sales team about this exciting opportunity.
Request Your Free Information Kit from All Reverse Mortgage
All Reverse Mortgage maintains an A+ exemplary rating by the Better Business Bureau
and are proud members of the National Reverse Mortgage Lenders Association. As a NRMLA member we abide by a Code of Ethics & Professional Responsibility in which we pledge to serve you with integrity. Your client's best interests are our primary consideration.
• FHA Direct Lender ID #26031-0007
• NMLS - National Mortgage Licensing System (Input Company ID # 13999 ) Visit NMLS Site
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