Title Insurance January 2019

18 7. How much money can I get from my home? The amount varies by borrower and depends on: • Age of the youngest borrower or eligible non-borrowing spouse • Current interest rate; and • Lesser of appraised value or the HECM FHA mortgage limit of $625,500 or the sales price If there is more than one borrower and no eligible non-borrowing spouse, the age of the youngest borrower is used to determine the amount you can borrow. 8. Should I use an estate planning service to find a reverse mortgage lender? FHA does NOT recommend using any service that charges a fee for referring a borrower to an FHA-approved lender. You can locate a FHA-approved lender by searching online at www.hud.gov or by contacting a HECM counselor for a listing. Services rendered by HECM counselors are free or at a low cost. To locate a HECM counselor Search online or call (800) 569-4287 toll-free, for the name and location of a HUD-approved housing counseling agency near you. 9. What if I change my mind and no longer want the loan after I go to closing? How do I do this? By law, you have three calendar days to change your mind and cancel the loan. This is called a three day right of rescission. The process of canceling the loan should be explained at loan closing. Be sure to ask the lender for instructions on this process. Mortgage lenders differ in the process of canceling a loan. You should ask for the names of the appropriate people, phone numbers, fax numbers, addresses, or written instructions on whatever process the company has in place. In most cases, the right of rescission will not be applicable to HECM for purchase transactions.