Lower Costs = More Money in Your Pocket
One of the biggest complaints I have heard about Reverse Mortgages is that the closing costs are too high. We, at Oregon Reverse Mortgage Info, have decided to do something about that. We have taken the bull by the horns, so to speak, and decided that we are not going to charge an origination fee for our Oregon Reverse Mortgages and instead rely on the rebate paid by the lender as our source of income on the loans.
What does this mean to the Senior Citizen when looking at their reverse loan costs? Well, previously most lenders charged the normal 2% fee on a reverse mortgage. However, the 2% fee was calculated on the value of the property, not the amount of the loan. So, if the property value was $400,000, the fee would calculate at $8,000 but would be $6,000 (maximum amount). That meant that the senior would receive $6,000 less than they could in the payout of the loan.
Now, the rebate is paid by the lender and even though there will be a loan fee charged, the rebate will offset that loan fee and the senior will receive the total amount in their pay out. This is our way of getting the maximum amount of cash to the senior that we can in an Oregon Reverse Mortgage transaction.
We are also working with lenders that do not charge for the “servicing set asides” and that can mean an additional $3,500 to $5,000 in the client’s pocket on a average loan. Everything we can do to make the process more streamlined and painless will be done for our senior loan applicants.
If you have questions about a Reverse Mortgage we will not pressure you to take one out, but it may be in your best interest to check out one now, rather than later. Please contact one of us today at 541-342-7576. Alpine Mortgage Planning is located at 1200 Executive Pkwy., Ste. 100, Eugene OR 97401. You can also e-mail Laurie here or Fred here. We are here to help you make the decision that is right for you. Reverse Mortgages are not for everyone, but they are an excellent choice for some people. Isn’t it time that you checked out the advantages of a Reverse Mortgage?