Glenndora Jumbo Reverse Mortgage Specialists

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What is a Jumbo Reverse Mortgage?

A Jumbo Reverse Mortgage is a specialty reverse mortgage loan for homeowners whose home value is appraised above the Home Equity Conversion Mortgage (HECM) limit of $970,800. You may also see this called a “proprietary reverse mortgage” too.

Specifically, this targets homeowners who have higher-value homes and therefore have more equity to tap into. Jumbo reverse mortgages allow homeowners to access up to 6 million dollars worth of their home’s equity. The exact amount you can borrow varies depending upon your age, the value of your home, and how much you currently owe on the home.

If you have questions, we are always there to help in any way we can. Please give us a call today at 626-888-8012.

Why a Jumbo Reverse Mortgage?

A jumbo reverse mortgage allows you to tap into more of your home’s equity instead of being constrained by the limits of a traditional HECM. Because of a larger payout, it can provide comfort and financial peace-of-mind for retirees. It also provides limitless opportunities to expand your wealth outside of your home. If you live in a high-value home and want more money to play with, then a jumbo reverse mortgage can provide you with the freedom to enjoy your retirement however you want.

According to Housingwire these are the top 10 reasons why seniors choose a jumbo reverse mortgage:

  1. To make home modifications or repairs
  2. To buy an investment property or a vacation home
  3. To help children purchase a property
  4. To provide children with an early inheritance
  5. To create college funds for grandchildren
  6. To establish a trust fund
  7. To cover in-home care costs
  8. To have more financial liquidity
  9. To maintain their current lifestyle
  10. To pay off other debts

Benefits of a Jumbo Reverse Mortgage

Having more money to spend throughout your retirement is the main benefit of a jumbo reverse mortgage. It gets better though. A jumbo reverse mortgage can benefit you in many more ways than one.

Eliminate payments on a larger mortgage balance – A jumbo reverse mortgage enables borrowers to refinance hundreds of thousands of dollars or more on their mortgage balance. This allows retirees to pay off their monthly mortgage payments while maintaining their lives in a high cost of living area.

Immediately Access Funds – Jumbo reverse mortgages allow borrowers to access their funds upfront right after the loan closes. Regular HECMs limit the amount of proceeds available to the buyer in the first year.

No Mortgage Insurance Premiums – Jumbo reverse Mortgages are not FHA-insured, thus borrowers do not have to pay upfront and ongoing mortgage insurance premiums.

Don’t Worry About Interest Rate Hikes – As of right now jumbo reverse mortgages are fixed rate loans. You don’t have to worry about crazy interest rate hikes because your loan rate will increase at a predictable rate.