Nevada reverse mortgage is a special loan program designed to provide seniors in this state with the funds needed to stay in their homes while enjoying financial independence. It is a federally insured loan that converts some of the equity in a borrower’s home into a stream of income. This can be a lump sum payment, line of credit, or monthly payments that last as long as the borrower lives in their home.

It is a popular way for senior citizens to take care of financial needs that may arise during retirement such as health related expenses, home repairs or modifications, and other unexpected expenditures. However, the most popular use of this loan is to establish a financial “safety net” that provides funds to cover living expenses should it become necessary.

In order to qualify for a reverse mortgage in Nevada, borrowers must be at least 62 years old and have substantial home equity. They must also meet additional requirements that include being current on property taxes, homeowner’s insurance, and participating in a HUD-approved counseling session. There are a few other restrictions as well, such as the property being a single-family home, multi-unit dwelling with up to four units, a manufactured home built after June 1976, or condominium. The most common type of reverse mortgage is the HECM, which is backed by the Federal Housing Administration (FHA).

This federally insured loan has very few fees and charges, making it one of the best lending options for senior citizens. It can also be used to pay for a new home, or to consolidate existing debt into a lower interest rate. The HECM also allows for a higher loan to value ratio than some other reverse mortgage programs, which is useful for homeowners with high-value properties.

Obtaining a reverse mortgage in Nevada can be easy when you work with a qualified lender like Pacific Home Loans. We can help you with the entire process, from initial consultation to final closing. We can even assist with any additional documentation and home repairs if necessary, and we will keep you updated every step of the way. You can even sign the closing documents at home with a mobile notary or in person at the title company.

If the borrower decides to sell their home, they will be required to repay the loan balance at that time. This is not as significant of a concern as it may seem, because the loan usually does not exceed 95% of your property’s appraised fair market value. Additionally, any remaining balance is covered by mortgage insurance that is included with the loan.

Many seniors in Nevada are turning to a reverse mortgage for the peace of mind and security that it can bring. It can be an excellent option to establish a financial safety net, and provide the freedom of staying in their home that they have worked so hard for throughout their lives. Contact us today to learn more about this great program.