A HECM to HECM refinance is where a previous Reverse Mortgage is paid off and a new Reverse Mortgage takes its place. This is a valuable tool when home values rise dramatically giving the homeowner access to additional equity, there is a need to change the interest rate, or the homeowner would like to add another person to the mortgage such as a new spouse or qualifying family member.
Those close to retirement, but just can't seem to bridge the financial gap
Access additional equity gained through appreciation to consolidate Debts, establish a line of credit, or pull out cash
Add additional borrowers to the Reverse Mortgage
Make changes to the interest rate such as going from an adjustable to a fixed rate or locking in a lower rate
Retain all benefits of previous Reverse Mortgage
Establish monthly payments from the bank to supplement a fixed income
Reduced income qualifying requirements
Minimal Credit requirements
No Mortgage payments as long as the homeowner lives in the home