1. Proof of Age and Citizenship
To qualify for a reverse mortgage, you must be at least 62 years old. You'll need to provide documents that verify your age and U.S. citizenship or permanent residency status. Commonly accepted forms of identification include a driver's license, passport, or birth certificate.
2. Property Ownership Documentation
Since reverse mortgages are secured by your home, you'll need to prove that you own the property in question. This typically involves presenting a copy of your property deed, mortgage statement, or tax assessment.
3. Mortgage Information
If there's an existing mortgage on your home, you'll need to provide details about the outstanding balance and current monthly payments. The reverse mortgage lender will need this information to determine how much equity is available to you.
4. Counseling Certificate
Before applying for a reverse mortgage, you must attend a counseling session with a HUD-approved counselor. You'll need to provide a certificate of completion as proof of counseling when submitting your application. This step ensures that you fully understand the implications of a reverse mortgage.
5. Income and Asset Information
While a reverse mortgage doesn't have income requirements like traditional mortgages, lenders may still request information about your sources of income and assets. This helps them assess your ability to cover property charges, such as property taxes and homeowners insurance.
6. Credit and Payment History
Lenders may review your credit history and payment history for property-related expenses. However, a poor credit score won't necessarily disqualify you from obtaining a reverse mortgage. The primary focus is on your home's equity and your ability to meet ongoing financial obligations.
7. Proof of Residence
You'll need to confirm that the property in question is your primary residence. This typically involves providing utility bills, driver's license, or other documents that show you live at the property.
8. Counseling Confirmation
After your counseling session, you'll receive a certificate of counseling. This certificate serves as proof that you've met the counseling requirement. Be sure to include it with your application.