Special Offerings
A very low fix rate with zero origination fee. This very special offer will save you thousands of dollars in closing fees. Learn more here.
Free Brochure
Have all the facts regarding a reverse mortgage at your finger tips. This comprehensive brochure is free. Learn more here.
Calculator
See your reverse mortgage options based upon your age and home value. We have provided a free online reverse mortgage calculator. Open the calculator here.
Know the Facts
We think you should know all the facts when choosing a Reverse Mortgage Company. Why a mortgage lender is your best selection. Get the facts here.
Understanding closing costs
Below is a list of potential closing costs on a HECM loan. The Fee Range shown will vary depending upon many factors. Please discuss these items with one of our loan officers for a greater understanding.
| Item | HUD 1 Item | Explanation | Fee Range |
|---|---|---|---|
| Origination Fee | 801 | The origination fee covers a lender's operating expenses. | 2% loan amount. Minimum $2,500 |
| Appraisal Fee | 803 | An appraiser is responsible for assigning a current market value to your home. | $300-$475 |
| Credit report | 804 | Verifies any federal tax liens, or other judgments against the borrower | Under $20 |
| Mortgage Insurance Premium (MIP) | 806 | Fee payable to HUD for HECM loan for government guarantee. | 2% of loan |
| Flood Certification fee | 808 | Determines whether the property is located on a federally designated flood area | Under $20 |
| Hazard Insurance Premium | 903 | Any unpaid property hazard Insurance premium. | Varies |
| Reserves Deposited With Lender | 750 | Not typical for Reverse Mortgage. | 0 |
| Escrow, Settlement or Closing fee | 1101 | Closing services to attorney or title insurance agency | $400-$700 |
| Abstract Fee | 1102 | To obtain report of all documents of record affecting ownership interest to the property. | $75-$250 |
| Title examination | 1103 | Fee to attorney or title company reviewing chain of title to issue title insurance | $150-$400 |
| Document preparation fee | 1105 | Fee charged to prepare the final reverse mortgage documents, including the mortgage note and other recordable items | $85-$150 |
| Attorney's fees | 1107 | Preparation and/or legal review of closing documents | $125-$400 |
| Title insurance | 1109 | A Lender's Title Insurance Policy is required to protect the Lender against any loss arising from disputes over ownership of property | Based upon loan amount and rate varies from state to state. |
| Recording fee | 1200 | Fee charged to record the mortgage lien with the County Recorder's Office | $50 to $150. Additional fee will be due in areas where additional doc stamps are required. |
| Location Survey | 1301 | Determines the official boundaries of the property. | Normally NOT required |
| Pest Inspection | 1302 | Determines whether the home is infested with any wood-destroying organisms | Normally NOT required. |
| Courier fee | 1303 | Covers the cost of any overnight mailing of documents between the lender and the title company | $25-$50 |