Attention Seniors

by | Apr 22, 2022

The Unbelievable Benefits of a Reverse Mortgage

By featured blogger, Sanyu Barnicoat, V.I.P. Mortgage

A Home Equity Conversion Mortgage (HECM), also referred to as a reverse mortgage, has numerous benefits. A reverse mortgage: allows a homeowner to retain the title to the home while enabling them to leave their home to their heirs; it can be used in purchase transactions; is insured by the Federal Housing Administration (FHA); AND can be used to purchase your dream retirement home!
The current FHA lending limit for a reverse mortgage is $970,800, while jumbo loans are available for up to $4 million.

How It Works: A Kupuna sells their large home, netting $500,000, and prefer not to use all the funds to buy their next home. Because they live on limited retirement income, they do not qualify for a conventional mortgage.

With a reverse mortgage, they may be able to buy a home for $400,000, put down $210,000, with a remainder of $290,000 to spend and invest as they wish.**

**Assuming the buyer’s age is 73 years old. Buyers are not required to make monthly payments. Still, they must pay taxes and insurance, maintain the home, and occupy it as their primary residence.

Seniors are commonly burdened with the inability to maintain a comfortable lifestyle without outliving their assets. In addition, as we mature in age, we face several unpredictable challenges that require us to search for new, creative solutions. Yet, baby boomers live longer, retire at a greater rate, and are committed to maintaining an independent, healthy, and fulfilling lifestyle.

As a licensed reverse mortgage specialist with twelve years of experience, I am honored to educate our Kupuna about the benefits and security of a commonly misunderstood product. Over the next few weeks, I will be providing information about how reverse mortgages work. If you are curious to learn more about a reverse mortgage, please do not hesitate to reach out. It would be my pleasure to help you determine if a reverse mortgage is a right fit for you and your situation.
Aloha, mahalo, and I look forward to hearing from you.

Sanyu Barnicoat, HECM Specialist | NMLS – 718122 | 808-233-9338
120 Pauahi Street, #306, Hilo, Hawaii 96720

V.I.P. Mortgage, Inc. does Business in Accordance with Federal Fair Lending Laws.
NMLS ID 145502. HI: Mortgage Loan Originator Company License HI-145502

What Clients Are Saying

“I would recommend Jen to anyone interested in living on the Big Island and are thankful for her services and helpfulness. She has gone above and beyond to help us feel at home!”

Read Testimonials

Jen McGeehan

JEN MCGEEHAN, RS-80881
Phone: 808.747.2365
[email protected]

I am an adventurer by heart, never letting too much dust settle under my feet. But, I am also a nester, a woman who loves her home, garden, animals, family, and whatever career I happen to be in. In my latest adventure, I’ve successfully merged over 46 years of varied work and life experience into a real estate career that focuses on the goals and dreams of my clients. Are you interested in moving to the Big Island of Hawaiʻi? I’d love to talk with you about your dream goal, and help you achieve it!

Integrity is the cornerstone of my business! 

Coldwell Banker | Island Properties

RB-16822