*** IMPORTANT NOTICE FROM KATHIE ADLER
You can purchase a co-op using a reverse mortgage (New York only). You can purchase other types of properties in other states using a reverse mortgage. Property types: condominium, 1-4 unit residential property, manufactured home.
SEE PARAMETERS ON HOW TO QUALIFY!
Tired of making monthly mortgage payments? Looking for some cash? With sufficient equity in your co-op, you may be able to refinance your mortgage and also receive cash out.
(Proprietary reverse mortgages for co-ops in NY only).
NO AFFECT ON SOCIAL SECURITY or MEDICARE!
REQUIREMENTS FOR OBTAINING A REVERSE MORTGAGE ON A CO-OP ARE AS FOLLOWS:
AGE AND RESIDENCY REQUIREMENTS
Borrowers must be at least 62 years of age. The home must be the owner's primary residence for at least 6 months throughout the year. If you have a 1-4 unit residential property, you must reside in one of the units as your primary residence.
REVERSE MORTGAGE COUNSELING
HUD has mandated that reverse mortgage counseling is required in order to obtain a reverse mortgage.
KEEPING THE CO-OP IN GOOD REPAIR
The owner must keep their co-op unit in good repair especially if a loss or damage to their unit should occur.
MEETING FINANCIAL QUALIFICATIONS FOR THE LOAN
You are required to meet certain financial qualifications for the reverse mortgage including a history of on-time payments for property charges and co-op fees. Throughout the life of the loan, the co-op unit owner must continue to pay co-op maintenance fees, common charges, and real estate taxes plus any other fees levied by the co-op.
APPROVAL FROM THE COOPERATIVE'S BOARD OF DIRECTORS
Potential borrowers must receive approval for the reverse mortgage from the co-op board. Applicable co-op forms must be completed by the co-op board and returned to the lending company along with an application signed by all borrowers plus certain required documents.
COUNSELING AND APPLICATION: The application can be done securely online or in person. Reverse mortgage counseling, done by phone, takes about 40 minutes. Title on your home will be ordered and an appraisal of your apartment will be conducted by a licensed appraiser.
CLOSING AND FUNDING: Reverse mortgages typically close in about 35-45 days depending on when the appraisal is done as well as other factors. Funding of your reverse mortgage occurs on the 4th day after a 3-day right of rescission period in which you have the right to cancel your loan The right of rescission allows consumers a brief period of time to cancel certain types of home loans if they change their mind. (Important: Reverse mortgage proceeds are not considered taxable income by the IRS but are considered home equity, therefore, the proceeds are tax-free.)
IMPORTANT: THERE IS NO MAXIMUM CO-OP VALUE APPLIED TO YOUR LOAN. IF YOUR CO-OP IS VALUED AT TEN MILLION OR TWENTY MILLION DOLLARS OR WHATEVER THE VALUE MIGHT BE, THERE IS NO CEILING ON APPRAISED VALUE.
*** Please note: ¹Consult a tax professional. There are costs associated with obtaining a Co-op Reverse Mortgage.* You must comply with all of the loan’s terms and pay your other payment obligations such as cooperative fees, insurance and maintenance fees. Failure to comply with the loan terms and pay your other payment obligations will cause the loan to become due and foreclosure may occur.
DO YOU LIVE IN NEW YORK, NEW YORK CITY, BROOKLYN, QUEENS, NASSAU OR SUFFOLK COUNTY & OWN A CO-OP? You can obtain a reverse mortgaeg: (reverse mortgage, reverse your co-op, reverse mortgage co-op, reverse mortgage, reverse mortgage specialst, New York, New York, City, Brooklyn, Queens, Long Island, Nassau County.)
