Commentary on “Are fluoride levels in drinking water associated with hypothyroidism prevalence in England? A large observational study of GP practice data and fluoride levels in drinking water” (10 June, 2015)
Water fluoridation and hypothyroidism: results of this study need much more cautious interpretation (10 June, 2015)
Are fluoride levels in drinking water associated with hypothyroidism prevalence in England? A large observational study of GP practice data and fluoride levels in drinking water (10 June, 2015)
Sex-dependent and body weight-dependent associations between environmental PAHs exposure and insulin resistance: Korean urban elderly panel (10 June, 2015)
Longer breastfeeding duration reduces the positive relationships among gestational weight gain, birth weight and childhood anthropometrics (10 June, 2015)
Epigenetic regulation of Newborns’ imprinted genes related to gestational growth: patterning by parental race/ethnicity and maternal socioeconomic status (10 June, 2015)
Excessive crying at 3 months of age and behavioural problems at 4 years age: a prospective cohort study (10 June, 2015)
The relationship between social, policy and physical venue features and social cohesion on condom use for pregnancy prevention among sex workers: a safer indoor work environment scale (10 June, 2015)
Elevated inflammatory biomarkers during unemployment: modification by age and country in the UK (10 June, 2015)
Relative deprivation in income and mortality by leading causes among older Japanese men and women: AGES cohort study (10 June, 2015)
Socioeconomic marginalisation in the structural production of vulnerability to violence among people who use illicit drugs (10 June, 2015)
Web search activity data accurately predict population chronic disease risk in the USA (10 June, 2015)
Patterns and correlates of objectively measured free-living physical activity in adults in rural and urban Cameroon (10 June, 2015)
Alignment of systematic reviews published in the Cochrane Database of Systematic Reviews and the Database of Abstracts and Reviews of Effectiveness with global burden-of-disease data: a bibliographic analysis (10 June, 2015)
Migration, urbanisation and mortality: 5-year longitudinal analysis of the PERU MIGRANT study (10 June, 2015) Free
HECM for Purchase began with the passage of the Housing and Economic Recovery Act of 2008. Prior to this legislation, if a homeowner in retirement wanted to relocate, qualifying for the new home often proved difficult. They would have to be eligible to purchase a home though traditional means, establish their residency in the home, and then refinance with a HECM if desired.
Some baby boomers continue to reside in homes that are no longer ideal. Unfortunately, they are unaware of a home financing option that was built specifically for them – The Home Equity Conversion Mortgage for Purchase, or HECM for Purchase.
Older homeowners often find themselves wanting (or needing) to RELOCATE to be closer to family members, DOWNSIZE to a more manageable home, or even UPSIZE to a retirement dream home on the beach, golf course, or active adult community.
“With my knee and hip problems, I need a single-story home, preferably one that requires little maintenance.”
When physical limitations become a reality, or when individuals desire a closer connection to family, a move may become necessary. The reverse mortgage can help them move AND keep more money in their pockets.
With a traditional reverse mortgage, the lender offers a homeowner a percentage of the home’s value that can be used as needed. With a HECM for Purchase, however, those reverse mortgage funds are applied to a new home’s sales price. Depending on the age of the youngest participant, the lender is generally able to contribute 50% to 75% of the purchase price.
As always, no monthly principal and interest payments are required, and the homeowner gets to retain title and ownership of the home.
Most ideal purchase candidates are selling their current homes and relocating. If they use the HECM for Purchase to finance a large portion of the sales price, the homeowners can retain more cash reserves. This is a great opportunity to supplement retirement savings.
Reverse Mortgages are offered for “PRINCIPAL” residences only. This means that the homeowner must occupy the home, and the HECM for Purchase cannot be used for 2nd homes or investment properties. In fact, the borrower must occupy the home within 60 days of closing.
Because this loan product is federally insured, the HECM for Purchase will always require upfront, and ongoing, Mortgage Insurance Premiums (MIP). The initial MIP will depend on how much principal is used. Therefore, it may be wise for the borrower to only use 60% of the offered funds. The remaining 40% may be left in a line of credit. This will reduce the initial, one-time, premium from 2.5% to 0.5% of the home’s value. This is called “over-funding the purchase”, and may save the borrower 2% at closing.
Lastly, please be aware that sometimes mistakes are made when a Realtor writes a sales contract for a HECM. Federal guidelines related to new construction and seller-paid closing costs for reverse mortgages can be tricky. So it’s important that the Realtor works with an experienced reverse mortgage professional who can guide everyone through the process.