BREAKING NEWS! CO-OPS HAVE NOW BEEN APPROVED FOR REVERSE MORTGAGES IN NEW YORK STATE!
After much anticipation, co-op owners can now obtain a reverse mortgage on their individual co-op units in New York City and the state of New York.
See below for qualifications and parameters for reverse mortgages.
FOR FREE INFO AND TO RECEIVE A FREE REVERSE MORTGAGE COMPARISON
631-804-9044 -OR- 888-843-9797
Reverse Mortgages for Co-ops in New York State
REVERSE MORTGAGES ON CO-OPS NOW APPROVED
For seniors with conventional or other mortgages on their co-ops who wished to access the equity in their homes, a reverse mortgage had been unobtainable in New York state.
That has now changed!
Governor Kathy Hochul signed a bill that will allow co-op shareholders at least 62 years of age to take out a reverse mortgage on their apartments. For those unfamiliar, a co-op (or cooperative housing) is where most of the co-ops are reminiscent of apartment buildings of varying unit sizes and varying building sizes but where co-op owners buy shares in the housing complex. The co-op is governed by a board of directors, and unit owners have a proprietary lease on their homes.
The operating expenses for co-ops are gleaned through monthly maintenance fees divided among cooperative shareholders and depends on the amount of square footage in each apartment as well as floor space and outdoor space.
REVERSE MORTGAGE PARAMETERS
MUCH LIKE THE PARAMETERS FOR OBTAINING A REVERSE MORTGAGE ON A HOME OR CONDO OR MANUFACTURED HOME, THERE ARE VARIOUS REQUIREMENTS FOR OBTAINING A REVERSE MORTGAGE ON A CO-OP.
AGE AND RESIDENCY REQUIREMENTS
Borrowers must be at least 62 years of age. The home must be the owner's primary residence for at least 6 months throughout the year (snowbirds welcome!).
PAYING ONGOING PROPERTY CHARGES
The co-op unit owner must continue to pay co-op maintenance fees, common charges, and real estate taxes plus any other fees levied by the co-op. Failure to pay these charges will cause the loan to be in default and the loan to become due. Refinancing, moving, changing ownership of the unit or all borrowers passing away also causes the loan to become due.
KEEPING THE CO-OP IN GOOD REPAIR
The owner/owners must keep their co-op unit in good repair if a loss or damage to their unit should occur.
APPROVAL AND FORMS
Potential borrowers must receive approval for the reverse mortgage from the co-op board. Applicable co-op forms must be completed by the co-op board and returned to the lending company along with an application signed by you plus certain required documents.
REVERSE MORTGAGE COUNSELING
HUD has mandated that reverse mortgage counseling be required in order to obtain a reverse mortgage.
FOR A FREE, NO-OBLIGATION PROPOSAL AND TO SEE IF A REVERSE MORTGAGE WILL WORK FOR YOU, PLEASE CALL: 631-804-9044 (DIRECT) OR 888-843-9797 (24 HR MESSAGE)
CONTACT ADVISORS MORTGAGE: 888-843-9797 OR 631-804-9044
