Unlike a traditional mortgage, there are no credit or income requirements when qualifying for a reverse mortgage. The amount that you could borrow under a reverse mortgage is determined by the following:
- Age of the youngest borrower all of whom must be at least 62 years old.
- Current interest rates
- Value of your home or HECM loan limit
While their are no formal rules adopted just yet, it is important that you have sufficient sources of income or cash flow to make future tax, homeowners insurance, and HOA fees for the property. There also should be sufficient other resources to make sure that the property can be maintained in good condition. These are responsibilities of any homeowner.Almost all home types are eligible for a reverse mortgage. If it is a mobile home, it is subject to an FHA inspection, needs to be built in the last 30 years, and have a permanent foundation on land you own.