Reverse Mortgage Fees

Reverse Mortgage Fees Reverse mortgage fees leave many people concerned with how much they have to pay to the lending body. Nevertheless, getting a reverse mortgage is very useful if you need money, and if you are not planning to transfer into a much... More

Reverse Mortgage Fees Reverse mortgage fees leave many people concerned with how much they have to pay to the lending body. Nevertheless, getting a reverse mortgage is very useful if you need money, and if you are not planning to transfer into a much smaller home, then fees are not a very crucial issue. Generally, fees for reverse mortgage only become a disadvantage if the homeowners plan to move out of the property sooner or later. The interest rates for reverse mortgages are usually comparable to interest rates of other loans, and should not burden the homeowners since these are typically financed by the mortgage itself. Various Reverse Mortgage Fees  Origination Fee. The lender of the reverse mortgage earns through the origination fee. The Federal Housing Administration utilizes a formula that determines the amount of origination fee that is charged to the borrower. In general, the formula is 2% of the initial property value of $200,000 and an additional 1% to the next $200, Less