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I took care of her in the house, a house we've been in for 50 years altogether. The house has a reverse mortgage on it. I'd like to get a new mortgage and stay in the home (the home is worth more than what is owed). I just opened a probate case. Do I have to wait for probate to be completely over, which I understand could take up to a year, to transfer the house to my name so I may purchase it? Or is the reverse mortgage company going to want their money sooner?

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You need to find the reverse mortgage documents, talk to a local real estate lawyer and a local mortgage broker.

You need the details of the reverse mortgage.

You need to know what the house is worth in the open market.

You need to know if you are eligible for a mortgage in your own name.

Please keep in mind, that although you have lived in that house 50 years, perhaps you whole life, it is only a building. You memories are inside of you.
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Shane1124 Jan 2020
Agree with Tothill. Not to mention the upkeep costs for an older home which probably needs a lot of work and will cost a lot of money.
Being a homeowner is a lot of responsibility. Would you consider moving and buying a townhome or living in 55 + community? If not, can you afford to pay the taxes and monthly utilities on your mother’s home?
And lastly can you qualify for a mortgage with your income? Banks these days are requiring a 20% down payment due to the 2008 housing bubble.
I too agree with first getting all the ppwk regarding the RM and reading the fine print. It may not be worth your while in the long run.
Good luck to you and mom!
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I had to handle my dad's reverse mtg but he had not passed. If it is a non-recourse loan, you do not have to pay the bank anything but you would have to either give the house back to the bank to let them sell (which takes years for them to sell because they are backlogged with houses and you are still responsible for the upkeep until they do) or sell the house yourself with the stipulation that you sell it for at least 90% of the loan value. I would imagine first that you would need to go to probate to gain possession of the house and then sell to yourself. You can then apply for a new mortgage and payback the RM 90% of the loan value. Good luck!
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JoAnn29 Jan 2020
Good point. No will she doesn't own it. She may not want to.
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YOu say you were her only caretaker, were you the only child?  If you have siblings, will they agree to you getting the house.  With no will, you still have to go through probate.   Some states have a simplified process for small estates.
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Since Mom had no will, you will be an administrator. This will give you the ability to get to Moms accts and pay off any debts. Reversed Mortgages are based on equity on the home. How much of that equity did Mom use? Like said, you need to get those papers and find out where Mom stands. And, when does the mortgage lender require repayment. Get an appraiser to tell you what the Market Value is on the house. Do as much footwork as possible and then talk to a lawyer. Because your Mom died without a will, the state now gets involved. If there are other siblings, they are entitled to their share. When all is said and done, the home may have to be sold to pay the mortgage lean and to pay her other children. Thats why a lawyer is needed. To make sure all the Ts are crossed and all the Is dotted.

The amount of time it takes for probate all depends when the Estate can be liquidated. It took me 2 years because Moms house had to be sold to pay off leans. And it took till last Summer to sell. The leans were satisfied and the remainder of the proceeds split between the beneficiaries. In your case, the state will need to determine who those beneficiaries are.

You are going to need to take this one step at a time or you will get overwhelmed.
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FloridaDD Jan 2020
Just because OP was the only caretaker does not mean she will be administrator.  There may be other siblings.
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20% down is only required if you are not going to reside in the home. Say, an investment property. First time home buyers with excellent credit can often get into a home with as little as 5% down. Very few houses would get sold if everyone needed 20% down.
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