My mom took out a reversed mortgage unknown to me. I found out a year later. 2015 is when she did it. I live with her and my child who is disabled. I'm on the deed to the house. She is in the hospital and I'm scared. I know if she passes my daughter and I will have to sell my childhood home to pay back the loan. She owes 300k and the house is worth 600k. Has anyone successfully sold a house with a reverse mortgage before they try to foreclose. I know they give you about a year but I'm not sure if I can sell it in the time allotted. I guess I'm just looking for help and an ear for someone to listen.
Personally I think there’s at the edge of predatory lending for many RMs. 300k on a 600k paid off house. Sheesh.
It’s a line of credit RM, isn’t it? That’s what the monthly letters are about. They want mom to drain out the LOC.
Does the $300K owed include the reverse mortgage, as amortized to date?
These are the first question to research.
You could only sell it if (a) both of you can execute the sale papers (b) your mother is still mentally qualified to sign, i.e., doesn't have diagnosed dementia (I'm not being cruel, just realistic). There might be Medicaid issues, but I'll leave that to people more qualified.
But first, let's focus on your mother and her hospitalization. What's the cause of it? What are her diagnoses? Has anyone told you that she may be facing end of life issues?
As far as giving the house up, that’s hard. But realistically the upkeep on a 50 y/o house can be costly, so sometimes giving it up is a blessing in disquise.
My now 83 year old mother moved in with myself and my husband June 1st of 2017. She had a reverse mortgage on her home in Illinois. I’m her POA, and I had no problem selling her home. I got a realtor and put the house on the market and my attorney handled everything else once we had a buyer. I did have to provide proof of my POA documents. But once I did that I was able to sign for her. The house sold in no time and the check was made out to my mother and given to me. This process was new to me and I too thought that the reverse mortgage company was just going to come in and take the house. But after talking with them on the phone I learned that they would much rather you sell it on your own and give them their money. They ready don’t want to be bothered with the process of taking it over and now having to sell it. I suggest you get a good attorney that can walk you through the process. My attorney made it all go so smoothly. God Bless, I hope everything works out for you.
Good thoughts to you and your mom.
I'm wishing the best for her, and peace for you and your daughter. This must be difficult for both of you.
I'm not sure I understand the monthly statements. From what would she be withdrawing? Do you mean the reverse mortgage company is asking if she wants to withdraw more funds, increasing the amount outstanding?
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