Home Keeper Mortgage
Now you can have
the financial freedom you want with the Home Keeper®
Mortgage. This reverse mortgage product is designed to
benefit homeowners age 62 or older who are looking for a way
to tap their home equity without having to pay back the loan
while they still live in their home.
Fannie Mae's proprietary reverse mortgage product, designed to benefit homeowners age 62 or older who are looking to tap into their home equity without having to repay the loan while they remain living in the home. This product is also available for home purchase - with one transaction seniors can purchase and receive the reverse mortgage financing - reducing both the closing costs and the origination period.
How it works
– doesn’t want to make monthly mortgage payments; and/or
– doesn’t want to tie up all of his or her personal funds in the purchase of a home.
Home Keeper for Home Purchase becomes an option
• Borrower completes Home Keeper consumer education requirements and receives certificate.
• Senior identifies new property so that reverse mortgage amount can be determined. (Amount the borrower receives depends on age, number of borrowers, and the appraised property value.) Borrower determines combination of personal funds and reverse mortgage funds that will be used to purchase the home.
• Borrower negotiates purchase of home and has home inspected.
• Borrower applies for loan, completes origination process with lender (includes appraisal and property inspection), determines payout of Home Keeper funds, signs Home Keeper mortgage note, and receives deed to new property.
. • Payout will be a line of credit with a lump sum draw at closing for use as purchase funds. Any remaining funds can be retained in the line of credit and/or received as monthly payments for as long as the borrower resides in the property.
Home Keeper for the purchase of a home is a variation of the standard Home Keeper Mortgage. The following differences apply:
Purchase transaction only.
Amount of loan funds available to borrower is the function of age, number of borrowers, and the adjusted property value. The adjusted property is the lesser of the appraised value or the Fannie Mae loan limit.