reverse mortgage foreclosure heirs
ContentsReverse mortgage lenders associationCurrent appraised Pilot program aimedReverse mortgage borrowersSave significant amounts partial ownership interestThe amount that's due to the lender is the lesser of the reverse mortgage loan balance or 95% of the appraised market value of the home. Say the appraiser determines the home is worth $200,000 and the loan balance is $100,000. To keep the house, the heirs need to pay the loan balance of $100,000.When the borrower dies, heirs can repay the remaining loan. president of the National reverse mortgage lenders association. HUD says that occurred with 99 percent of HECM foreclosures from April.Heirs (or the estate) may also choose to complete a short sale of the property securing the reverse mortgage. By doing so, the estate is able to sell the property to an unrelated…