New Limits are active. Minimum of $417,000
The new lending limits for Reverse Mortgages are now in effect. Any Reverse Mortgages that get started after today will be able to participate in the most important change in the history of government sponsored Reverse Mortgages.
These Reverse Mortgage lending limits mean that your home will be able to have its entire value taken into account when recieving your Reverse Mortgage proceeds. The minimum lending limit set for the entire nation is $417,000. This means that if your home appraises for $450,000 only $417,000 of the value will be included in the system. This is standard for every lender in the nation, as the Reverse Mortgage is Federally regulated program.
This is a vast improvement to the program. Before these changes the minimum was as low as $200,000 and the Reverse Mortgage was not a realistic option for many seniors looking to improve their retirement.
