Birth dates on Reverse Mortgages

Hi Becky-

The birthdate is originally calculated on the day you sign your loan application and the date the loan is expected to close. You are correct that you get the benefit of your next birthday when you birthday is within six months:)

You can always complete an application, then wait until you are within six months of your next birthday to close your loan. I have one in process right now that is doing that. We took his application a month ago, and he wants to close on March 1st, as his birthday is 8/30. We will be in a hold pattern with everything completed at close of escrow.

I hope that answered your question. Please dont hestitate to call or email me if you have further questions.

Tamera Field
Goldent Gateway Financial
www.goldengateway.com
877-632-7890
tammyf@goldengateway.com

There are a couple of issues to be cognizant of.

The birth date is calculated from your application date, but is then recalculated for the date the loan documents are signed, and only if there is a significant change in benefits to you.

Waiting over six months after application could cause your appraisal to become worthless and cause your home to be appraised again (for an additional expense), especially in this fianancial climate.

Your documents may be calculated several times to take in several things. Your birth date is one, problems is getting issues settled, loan rate changes, and whatever.

If I were you, I would take into consideration what is happening with real estate values. If they are falling, and especially if they are falling rapidly, you may not want to wait.

I am a Notary Public, and I work with two well qualified Reverse Mortgage Consultants. That is where I get my knowledge from. I cannot give you legal advice. I can only give you my opinion based on my experience from doing Notary work on Reverse Mortgages for three years.