Keeping Seniors Safe, Sound, and Secure in a Home of Their Own

What is a Home Equity Conversion Mortgage (HECM)?

A Home Equity Conversion Mortgage is a government-insured reverse mortgage. HECM loans offer many different options on interest rates, how much money you can access, and how you receive your payments.

What are the basic requirements for a reverse mortgage?

To qualify for a reverse mortgage, you must be aged 62 or older and own your home. Your home must be your principal residence and meet U.S. Department of Housing and Urban Development (HUD) minimum property standards.

How is a reverse mortgage different from a home equity loan?

Both a reverse mortgage and a home equity loan use the equity you have in your home to generate cash. However, with a home equity loan, you need to make monthly payments on the principal and interest. With a reverse mortgage, you don't need to make monthly mortgage payments for as long as you stay in the home. The loan is repaid only after you permanently leave the home.

How can I use the proceeds?

You can use the proceeds any way you want. Common uses include paying monthly bills, fixing up your home, paying for prescriptions and health care, and planning ahead for the unexpected.

How much money can I get?

The amount you can borrow depends on several factors, such as:

• Your age
• Type of reverse mortgage you select
• Current interest rates
• Appraised value of your home

Will my current income affect my eligibility?

You will be asked for documentation to demonstrate your ability to pay your homeowner's insurance and your property taxes. Some seniors qualify for a property tax reduction or waiver; check with your local county tax authority for information.

How will a reverse mortgage affect my government benefits?

The funds from a reverse mortgage generally do not affect regular Social Security or Medicare benefits. However, needs-based benefits, such as Medicaid and Supplemental Security Income (SSI), may be impacted. A Middleburg Mortgage reverse mortgage specialist can provide additional general information, but you should contact a tax professional about your particular situation.

When is the loan repaid?

The loan is repaid when the last person on the title moves, sells the home, or passes away. In other words, the loan is repaid BY THE HOME ITSELF when the senior no longer needs the home.

Where does the money come from to repay the loan?

The home is either sold and the proceeds from the sale repay the loan, or the senior's family secures new financing and buys the home.

What if the home has gone down in value and the proceeds can't repay the loan?

The home repays what it can. Any shortfall is made up by the mandatory Mortgage Insurance Premium (MIP).

What if one of the co-borrowers passes away?

The surviving borrower can continue to live in the home and enjoy all the benefits of the reverse mortgage.

Call today for more information!

Laurie MacNaughton (NMLS#506562) Reverse Mortgage Specialist, President's Club Atlantic Coast Mortgage, LLC 4097 Monument Corner Drive, Ste 600 Fairfax, Va 22033 Cell 703-477-1183 | Email: Laurie@MiddleburgReverse.com | www.acmllc.com
Visit Laurie MacNaughton on YouTube: https://youtu.be/98cjSJ_muP8

Proudly Serving Northern Virginia: Arlington, Alexandria, Mannassas, Dale City, Fredericksburg, and surrounding areas.

Laurie MacNaughton grew up in a large, multi-generational family, and was a highly competitive athlete, symphony harpist, and active community volunteer. After high school she studied in Europe, graduated with honors from Villanova University, and attended graduate school at George Washington University in Washington, D.C.

Laurie specializes in both the traditional FHA Reverse Mortgage and Reverse for Purchase, and is a nationally top-ranked originator of FHA Reverse for Purchase. She is in frequent demand as a speaker at legal, financial, and senior-services events, and is a certified continuing education provider for realtors in the Commonwealth of Virginia.

Laurie MacNaughton is one of the most genuine, professional, and knowledgeable people you could ever hope to meet. I have known Laurie for many years. She is a rare find in the business world because she is more motivated by her big heart than by the almighty dollar. Laurie helps her clients in every way she can and uses her talents and relationships to make sure that each client receives service that is above and beyond. Laurie doesn't just have clients, she forms relationships and really gets to know people so that her advice and service fits what they need. Her commitment to her clients is unsurpassed.

- Jo-Ellen Benson, Manager, Commerce Bank/TD Bank.

Laurie has a passion for helping seniors find the best possible solutions for their cash needs. She loves what she does and it shows by the extra effort she puts in working with them through whatever reverse mortgage program makes the most sense in their situation. But it goes beyond that, as she extends her efforts to sometimes unbelievable lengths to do whatever can be done for them, even outside of her own field. It is truly a pleasure to work with her and her clients to make their lives better and more fulfilling.

- Rick Gow - Wealth Management Adviser, Lara, Shull & May, LLC

Laurie is quite simply the best of the best when it comes to helping clients understand reverse mortgages. I have watched her teach in front of groups, seen her work with clients, and met her on projects that had to be renovated before financing could be done, and am always impressed with the care and consideration she gives to all her clients. If you have a friend, a family member or a client who would benefit from a Reverse Mortgage, you cannot do better than to discuss it with Laurie.

- Adam W Davis (Client)