|
Product |
FHA - HECM (Home
Equity Conversion Mortgage) |
HomeKeeper by Fannie Mae |
Jumbo |
|
Minimum Age
|
62
years old |
62 years old |
62 years old |
|
Interest Rates |
Treasury bill, plus margin and adjusted monthly or annually |
CD rate, plus margin and adjusted monthly |
LIBOR, plus margin and adjusted monthly |
|
Eligible Properties |
Owner-occupied single family homes, townhouses,
condominiums, and 1-4 unit homes |
Owner-occupied single family homes, townhouses,
condominiums, and 1-4 unit homes |
Owner-occupied single family homes, townhouses,
condominiums, and 1-4 unit homes |
|
Maximum Lending Limit |
Varies depending on the geographical area |
National lending limit that adjust annually |
Maximum: Unlimited
Minimum: $200,000 |
|
Taxes |
Loan proceeds are tax free |
Loan proceeds are tax free |
Loan proceeds are tax free |
|
Servicing Fee |
$30-$35 per month (automatically financed within loan) |
$30 per month (automatically financed within loan) |
$20-$30 per month (automatically financed within loan) |
|
Counseling |
Required by an approved HUD counselor |
Required by an approved Fannie Mae or HUD counselor |
Required by independent counseling |
|
Insured |
Federally
insured program |
Government sponsored enterprise program |
|
|
Origination and Closing Costs |
Loan origination fee and other closing costs can be financed
in the loan |
Loan origination fee and other closing costs can be financed
in the loan |
Loan origination fee and other closing costs can be financed
in the loan |
|
Distribution Options |
Line of credit, lump sum, monthly payment, or combination |
Line of credit, lump sum, monthly payment, or combination |
All cash out, line of credit, or a combination |
|
Use of Loan Proceeds |
There are no restrictions on the use of proceeds from this
type of loan |
There are no restrictions on the use of proceeds from this
type of loan |
There are no restrictions on the use of proceeds from this
type of loan |
|
Social Security |
Social Security and Medicare are NOT affected |
Social Security and Medicare are NOT affected |
Social Security and Medicare are NOT affected |
|
Credit |
No credit qualifications |
No credit qualifications |
No credit qualifications |
|
Income |
No income qualifications |
No income qualifications |
No income qualifications |
|
Repayment |
No repayment is required as long as the borrower(s) live in
the home as their primary residence |
No repayment is required as long as the borrower(s) live in
the home as their primary residence |
No repayment is required as long as the borrower(s) live in
the home as their primary residence |
