The Reverse mortgage for purchase is finally approved in Texas!
The Texas reverse mortgage loan amendment (Proposition 5) was approved on the November 5, 2013 ballot in Texas as a constitutional amendment. The state of Texas has the second largest market in the country for reverse mortgages, which makes the passing of this proposition very important.
This form of reverse mortgage allows a person or persons to purchase a new primary residence and obtain a reverse mortgage in a single transaction. Proposition 5 added the terms of a reverse mortgage for purchase in the constitution so seniors can now use this method to purchase a new home.
It also requires lenders of reverse mortgages to expand the required counseling by an independent HUD approved agency to borrowers, ensuring that seniors feel completely comfortable with the process and understand all of their options.
Did you know?
90% of seniors want to stay in their homes and age in place – 2012 National Council on Aging & USA Today national survey
|For Home Buyers||For Realtors|