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11-10-2020 |
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A single-purpose reverse home mortgage is provided by federal government agencies at the state and regional level, and by not-for-profit groups too. It's a kind of reverse home loan that puts guidelines and restrictions on how you can use the cash from the loan. (So you can't invest it on a fancy vacation!) Usually, single-purpose reverse home mortgages can only be used to make real estate tax payments or pay for home repair work.
The important things to bear in mind is that the loan provider has to approve how the cash will be used prior to the loan is given the OK. These loans aren't federally insured either, so lending institutions don't need to charge home mortgage insurance coverage premiums. However considering that the cash from a single-purpose reverse home loan needs to be utilized in a particular method, they're generally much smaller sized in their quantity than HECM loans or exclusive reverse home loans. https://thesourceweekly.com/author/scwardfais/ |
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