Finding the right reverse mortgage lender is an important step to processing your reverse mortgage. However before you even talk to a reverse mortgage lender there is the small matter of seeing a counselor. Anyone interested in applying for a reverse mortgage is obligated by law to see an independent counselor who will then issue a certificate to prove that the counseling session has taken place.
Sounds like red tape? It is just one of the safety measures put into place to protect you and your money. The reverse mortgage has been designed to keep your money safe. Counseling is a great place to hear the reverse mortgage pros and cons.
Finding A Lender
Finding a reverse mortgage lender is actually very simple. All reverse mortgage lenders belong to the National Reverse Mortgage Lenders Association. This association has a code of conduct that specifies the responsibility of lenders to clients. Finding a lender in your area is a matter of simply visiting the NRMLA website and selecting your state, you will then be provided with a list of companies that offer this service.
The Right Choice
The right reverse mortgage lender is invariably one that offers you the best rates. This will mean some research on your part. Look carefully at the rates being offered to you and decide what works best for you. Most reverse mortgage lenders have standard and capped interest rates, which means that you might not find a vast difference in rates and interest fees being offered to you. Make sure that any company you work with has signed the NRMLA Code of Conduct and is listed on its website.
The best way to ensure you are making the right choice is to ask as many questions as possible. If there s anything on your mind don t be afraid to ask. You should feel like you are being treated fairly, competently, and with professionalism. If you feel that certain reverse mortgage lenders are not behaving professionally then look somewhere else.
You need to feel comfortable when taking out a reverse mortgage. You should also keep in mind that a reverse mortgage is meant to make your life easier. This loan is not meant to cost the earth, in fact many safety measures have been put into place so that it remains a low cost loan. There should be no prepayment penalty if you decide that you would like to pay back the loan before permanently moving out of your home.