Frank Chandler is your licensed reverse mortgage loan specialist in Norfolk County, Massachusetts.
Reverse mortgage loans are a popular financing option for senior homeowners in Norfolk County, Massachusetts, allowing them to tap into their home’s equity. The most popular type of reverse mortgage is the FHA-insured Home Equity Conversion Mortgage (HECM) loan. Unless noted otherwise, we’re referring to HECMs when discussing reverse mortgages.
How Does a Reverse Mortgage Loan Work?
Reverse mortgage loans allow homeowners 62 and older to access a portion of their home equity without obligatory monthly mortgage payments, so long as the borrower takes care of property charges, like insurance, taxes and upkeep.
Reverse mortgages are an excellent option for seniors in Norfolk County, Massachusetts, looking to own and live in their homes but also wanting additional cash flow. Borrowers can use the funds from a reverse mortgage for virtually any purpose, including home improvements, medical expenses or enjoying retirement life.
Our Reverse Mortgage Loans in Norfolk County, Massachusetts
Home Equity Conversion Mortgage (HECM)
This is the most common type of reverse mortgage loan and is insured by the Federal Housing Administration (FHA). The amount of cash available depends on several factors, including the borrower’s age, the home’s value and interest rates.
HECM for Purchase (H4P)
This type of reverse mortgage loan is for purchasing a new primary residence. It can significantly increase homebuying power and enable borrowers to move somewhere more expensive without having to drain their nest egg. Like a traditional HECM, the borrower does not need to make monthly mortgage payments, so long as they pay property charges like taxes, insurance and upkeep costs.
Jumbo Reverse Mortgage Loans
This type of reverse mortgage is for high-value homes that exceed the HECM loan limit of $1,089,300 set by the FHA. Jumbo reverse mortgage loans are a proprietary product not insured by the FHA, so the terms and conditions can vary depending on the lender. The amount of cash available is based on the appraised value of the home, and borrowers typically have more flexibility in payment options.
Reverse Mortgage Loan Benefits
People in Norfolk County get reverse mortgage loans for many reasons, including:
Home Equity Access
A reverse mortgage loan allows homeowners to tap into their home’s equity without selling the property. This can be especially advantageous in Norfolk County, where home values have historically appreciated, providing substantial equity for long-time residents.
Tax-Free Proceeds*
The funds from a reverse mortgage are considered loan proceeds, not income. As a result, they’re generally tax-free.* This can greatly benefit those looking to improve their cash flow but avoid increasing their tax burden.*
Aging in Place
A reverse mortgage enables homeowners to remain in their homes as they age, maintaining their independence and connection to their community. This can be particularly important in Norfolk County, which offers a high quality of life with its scenic beauty, cultural attractions and relatively mild climate.
Supplemental Retirement Cash Flow
A reverse mortgage can provide a steady stream of tax-free* cash flow, allowing homeowners to supplement their retirement funds or other income sources.* This can help maintain a comfortable lifestyle in Norfolk County, which has a relatively high cost of living compared to other areas.
Flexibility
Reverse mortgages offer various payment options, such as a lump sum, monthly payments or a line of credit. Homeowners can choose the option that best suits their financial needs and goals, giving them more control over their finances and more freedom in life.
Non-Recourse Loan Protection
HECMs are the only reverse mortgage loans insured by the Federal Housing Administration (FHA). This makes HECMs non-recourse loans, meaning the borrower will never owe more than the home is worth at the time of sale.**
For example, suppose a borrower takes a reverse mortgage loan on their home when the housing market is high. The market is low when they pass away, but their heirs still wish to sell the property. In that case, the Mutual Mortgage Insurance Fund pays the remaining difference (administered by the FHA and financed via Mortgage Insurance Premiums paid by all borrowers). This offers great peace of mind to those concerned about passing debts onto heirs.
Fun Facts About Norfolk County
- Norfolk County is home to the Blue Hills Reservation, a scenic natural area offering hiking, picnicking and views of the Boston skyline
- Quincy is the birthplace of two U.S. Presidents, John Adams and John Quincy Adams
- Foxborough is home to Gillette Stadium, where the New England Patriots play
- Shoppers can enjoy retail therapy at Wrentham Village Premium Outlets, a shopping destination with a variety of designer and brand-name stores
Interested in a Reverse Mortgage in Norfolk County?
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*This advertisement does not constitute tax or financial advice. Please consult a tax and/or financial advisor regarding your specific situation. **There are some circumstances that will cause the loan to mature and the balance to become due and payable. Borrower is still responsible for paying property taxes and insurance and maintaining the home. Credit subject to age, property and some limited debt qualifications. Program rates, fees, terms and conditions are not available in all states and subject to change.