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Useful information regarding reverse mortgages in Wilmington Delaware

According to the Department of Housing and Urban Development (HUD), the number of HECM loan originations in Wilmington Delaware and elsewhere insured by the Federal Housing Administration rose from 7,923 in fiscal year 1999 to 112,013 in 2008, representing an increase of more than 1,300%. HUD anticipates that the number of HECM originations will rise significantly in 2009 due in part to an increase in HECM loan limits from $362,790 to $625,500.

Reverse Mortgage Loan Types in Wilmington Delaware

An HECM is a reverse mortgage loan product insured by the Federal Housing Authority (FHA). While other reverse mortgage loan products exist, the HECM is the most well-known and widely available in Wilmington Delaware. It enables eligible homeowners to access the equity in their homes by providing funds (in many instances in a lump sum payment) without incurring a monthly payment burden during their lifetime in the home. To be eligible for an HECM, a borrower must be 62 years or older, own their own property (or have a small mortgage balance), occupy their property as their primary residence, and participate in HECM counseling.