Eligibility Requirements

Borrower Requirements
-
Must be 62 years of age or older (spouse can be under 62)
-
Must have considerable equity on property (the younger you are, the more equity you will need- 50% equity +/-)
-
Must occupy the property as your principal residence (at least 6 months + 1 day). Borrowers CAN own other properties
-
Must not be delinquent on any federal debt, such as income taxes
-
Must have financial resources to continue paying property tax, home insurance, HOA, and general upkeep of home
-
Must participate in phone or in-person counseling session with a HUD-approved HECM counselor (Fee associated: $100-$200). A Better Life Mortgage will provide a list of approved counselors and a code that is needed to set up an appointment.
Property Requirements
-
Primary single family home, or 2-4 units with one unit occupied by owner
-
HUD-approved condominium project (A Better Life Mortgage may have a source for a NON-approved condominium project- inquire with loan officer.
-
Individual Condominium Units that meet FHA Single Unit Approved requirements
-
Manufactured homes that meet FHA requirements
Financial Requirements
-
Income requirements are MUCH different than a regular loan because there is NO requirement to make a payment.
-
Credit history will be reviewed. Unlike regular mortgage, credit scores do not affect the interest rate.
-
Assets when there is a purchase transaction or when a client owns other properties will be verified
-
Timely payment of real estate taxes, hazard and flood insurance premiums will be verified