Real Estate Broker License

Real Estate Licensing Real Estate Licensing Home / Licensing /Real Estate Licensing HOW TO OBTAIN A UTAH REAL ESTATE LICENSE A real estate license is required of any person who, for another and forvaluable consideration, negotiates or consummates the sale, lease, exchangeor purchase of real estate. The Utah Real Estate Commission determines the qualifications and therequirements of all applicants for a Utah real estate license. Each applicantis required to provide evidence of honesty, integrity, truthfulness, reputationand competency. Each applicant must pass an examination covering the fundamentalsof the English language, arithmetic, bookkeeping, real estate principalsand practices, the Rules established by the Real Estate Commission and anyother aspect of Utah Real Estate License Law considered appropriate. Please take time to go over the screening questionnaire. Your responses tothese questions could have an impact upon whether or not you are able toobtain a Utah Real Estate license. Additional information and requirements are outlined throughout the followingpages. Screening Questionnaire Sales Agent License Associate Broker License Principal Broker License Opening Own Business Property Management License Branch Offices Non-Resident License ApplicantsLicensed in Other States Reciprocity (between Utah and: Wyoming, Colorado, Idaho, Montana, and Alberta, Canada) Examination Procedure ChangeCard SCREENING QUESTIONNAIRE 1. Do you now hold or have you ever held a real estate license in a state otherthan the state of Utah or in another country? 2. Have you ever had a license to practice in the real estate profession,or any other profession or occupation, denied, restricted, suspended, orrevoked? 3. Have you ever been permitted to resign or surrender your real estate licenseor any other professional license,or have you ever allowed a license to expire while you wereunder investigation, or while action was pending against you by any realestate licensing or other agency? 4. Is any disciplinary action now pending against you by any real estatelicensing or other agency? 5. Are you CURRENTLY under investigation for, or charged with, or have you everbeen convicted of, or pled guilty or no contest to, a felonyor misdemeanor? (If you have had only one misdemeanor conviction or plea and thecase was closed over five years ago, you do not have to answer yes. Caution: DUI's and other alcohol-related traffic offenses may bemisdemeanors. Non-alcohol-related traffic offenses do not need to bedisclosed.) 6. Have you been placed on probation or ordered to pay a fine in connection withany criminal offenseor a licensing action? If you answer YES to this question you will beasked at the time of application for licensure to provide proof of completion ofyour probation and payment of all fines. 7. Have you been ordered to pay restitution in connection with any criminaloffense or licensing action? If you answer YES to this question you willbe asked at the time of application for licensure to provide proof that you havefully complied with the restitution order. 8. Have you had a civil judgment entered against you based on fraud,misrepresentation, or deceit? If you answer YES to this question you will be asked at the time of application for licensure to provide proof that the judgment has been fully satisfied. 9. Are you under 18 years of age? WARNING: IF YOU PASS THE EXAMINATION, YOUR FINGERPRINTS WILL BE TAKEN ANDSUBMITTED FOR A CRIMINAL BACKGROUND CHECK. FAILURE TO ACCURATELY DISCLOSEYOUR CRIMINAL HISTORY WILL RESULT IN IMMEDIATE AND AUTOMATIC REVOCATION OF YOURLICENSE. SALES AGENT LICENSE License Requirements - The applicant for a sales agent license must be at least 18 years ofage. Education Requirements - An applicant for a sales agent license must complete an approved educationalprogram of 90 classroom hours. The subject matter of the course will consistof Real Estate Principals and Practices and Utah Real Estate License Law. All courses must be completed at a Division approved real estateschool . Membership in the Utah State Bar will satisfy this education requirement. Experience will not satisfy the education requirement. Licensing Procedure - Within 90 days after the successful completion of the examination, theapplicant must return the following to the Division: Score Report/License Application - The applicant will provide a score report/license application receivedfrom Promissor ( the professional testing service) which indicates that both the nationaland state portions of the examination have been passed. The passing score report/license application must besigned by the principal broker with whom the applicant will be affiliating.No such signature is required of the applicant who desires inactive status. Education Documentation - The applicant will provide documentation of the successfulcompletion of 90 hours of classroom education taken within the previous year.Documentation will consist of the signed and stamped education certificatelocated in the examination Candidate Handbook, and/or an education waiverissued by the Division. Fees - The fee will include the license fee, the fee for the Recovery Fund, and the fingerprint processing fee. Currently, this totals $151.00. ASSOCIATE BROKER and/or PRINCIPAL BROKER LICENSE License Requirements - The applicant for an associate broker/principal broker license must beat least 18 years of age. The applicant must have a minimum of three years real estate experience and a total of at least 60 points accumulated within the five years prior to licensing. A minimum of two years (24 months) and at least 45 points will be accumulated from Tables I and/or II. The remaining 15 points may be accumulated from tables I, II, or III. The Principal Broker may accumulate additional experience points by having participated in real estate related activities as outlined in Experience Points Table III. Education Requirements - An applicant for an associate broker or principal broker license mustcomplete an approved educational program of 120 hours. The subject matterof the course will consist of 12 classroom hours in Brokerage Management, 24 classroom hours in Advanced Appraisal,24 classroom hours in AdvancedFinance, 24 classroom hours in Property Management, 24 classroom hours in Advanced Real Estate Law, and 12 hours in Utah License Law. All courses mustbe completed at a Division approved real estateschool . The Division may waive all or part of the education requirement by virtueof equivalent education. Education waivers may be granted only by the Division.To obtain an education waiver, the applicant must provide to the Divisionvalid documentation of his/her equivalent education. Experience will not satisfy the education requirement. Licensing Procedure - Please refer to the following information and forms (Broker Application Packet) Application for a Broker License Procedures Checklist Requirements for Obtaining a Real Estate Broker License Experience Points Tables (Rule 162-2.2.5) Documentation of Full Time Experience Real Estate Sales/Leasing Transaction Log Real Estate Property Management Transaction Log Brokerage Verification Form OPENING OWN BUSINESS If the applicant wishes to open his/her own business, the following isalso required: Business Name Approval - The principal broker applicant must submit evidence that the name underwhich he/she will be doing business has been registered and is approved bythe Division of Corporations, Utah Department of Commerce. The Division ofReal Estate will not accept a proposed company name that may mislead thepublic into thinking they are not dealing with a real estate brokerage orproperty management company. Company Registration - The principal broker applicant must submit a Company Application on theform required by the Division. Evidence of Trust Account - The principal broker applicant shall submit documentation from a financialinstitution that is less than 30 days old verifying the applicant's trustaccount. Change Cards - A Change Card must be submitted for each agent who will be affiliatingwith the principal broker. Fees - Appropriate fees for company registration mustbe submitted. Currently this fee is $25.00. PROPERTY MANAGEMENT LICENSE License Requirement - All persons who, for another and for valuable consideration, engage inproperty management must hold a current Utah real estate license to functionas a property manager. Property management is defined as providing the followingservices which may include, but are not limited to: Advertising real estate for lease or rent. Procuring prospective tenants or lessees. Negotiating lease or rental terms. Executing lease or rental agreements. This requirement does not apply to: An owner who manages his/her own property. A regular salaried employee of the owner of real estate who manages property owned by the employer. Apartment managers who manage the apartments at which they reside in exchange for free or reduced rent on their apartments. A full time salaried employee of a homeowners association who manages units subject to the declaration of condominium, which established the homeowners association. Individuals who, as employees of a licensed property management company, provide prospective tenants with access to vacant apartments, provide secretarial, bookkeeping, maintenance or rent-collecting services, quote predetermined rent and lease terms, and fill out preprinted lease or rental agreements, the terms of which are not negotiable by the person completing the form. Broker Supervision - All property management conducted by a sales agent or associate brokermust be supervised by the principal broker with whom the licensee isaffiliated. S EPARATE PROPERTY MANAGEMENT COMPANY A principal broker may be granted a license to operate a property managementcompany separate from an existing real estate brokerage upon compliance withthe following conditions: Application - The principal broker, as a single proprietor or a company, must obtainan additional broker's license by submitting an application on the form requiredby the Division together with the license fee plus the fee for the RecoveryFund. Business Name Approval - The applicant must submit evidence that the name of the new company hasbeen registered and is approved by the Division of Corporations, Utah Departmentof Commerce. The Division of Real Estate will not accept a proposed companyname that may mislead the public into thinking they are not dealing witha real estate brokerage or property management company. Company Registration - The principal broker applicant must submit a Company Application on theform required by the Division. Evidence of Trust Account - The principal broker applicant shall submit documentation from a financialinstitution that is less than 30 days old verifying the applicant's trustaccount. Affiliated Licensees - The principal broker must designate with which company each of the licenseesaffiliated with him/her will be located - either the real estate brokerageor the property management company. Property Management Company Only - No Brokerage - If a principal broker (an individual or company) wants to operate a propertymanagement company only AND does not operate a real estate brokerage, theprincipal broker may do so by the same procedure as for opening a real estatebrokerage. Fees - Appropriate fees for company registration mustbe submitted. Currently this fee is $25.00. BRANCH OFFICES A branch office is a real estate office affiliated with and operating underthe same name as a principal brokerage but located at a different address.A branch office must be registered with the Division of Real Estate priorto operation. Application - To register a branch office, the principal broker must submit to the Division,on the forms required by the Division, the location of the branch, the nameof the branch manager and the names of all associate brokers and sales agentsassigned to the branch. He/she must also submit trust account documentationthat is less than thirty days old of a valid trust account. This accountcan be the same trust account used by the main office. Branch Manager - Each branch office must have an associate broker as a branch manager whowill actively manage the office. Fees - Appropriate fees for company registration mustbe submitted. Currently this fee is $25.00. NON-RESIDENT LICENSE A person who is actively licensed and in good standing in anotherstate as a real estate principal broker, associate broker or sales agentmay be issued an equivalent license in Utah by successfully completing specificeducation hours required by the Division with the concurrence of the Commission,and by passing the state and, in some cases, the general portion of the Utahreal estate licensing examination. The general portion of the exam may notbe waived for licensees from California due to the way California administerstheir exam. If the license in another state is expired, the applicant will be required to comply with all of Utah'sprelicensing requirements. Education and examination waivers will not beprovided if the license has expired. The applicant must also comply with each of the following requirements: Application - The applicant must submit an application for examination and license inaccordance with the requirements of the state of Utah. License History - Proof of licensure and disciplinary action, if any, (a "history letter")from each state in which the applicant has been licensed. Education Documentation - A waiver toward the Utah education requirement may be granted for educationtaken in another state. The applicant must provide to the Division validdocumentation of any certified real estate education taken in another statethat correlates with the education requirement of the state of Utah. Validdocumentation shall show proof of completion of the subject matter, the dateof completion and the number of classroom hours of each course taken. The application will be required to take a minimum of 12 classroom hoursin Utah License Law and may be required to take additional real estate educationhours. The applicant will be notified by the Division of his/her specificeducation requirements in the form of a "waiver letter." WAIVER LETTER - Upon receipt of the "license history" and the documentation of previouslycompleted real estate education, the Division will determine how many hours,if any, of Utah's education requirement may be waived and how many hoursthe applicant will still be required to complete before he/she will be allowedto sit for the examination. The licensee will be notified of his/her educationrequirements in the form of a "waiver letter." If applicable, the "waiverletter" will also indicate whether the general (national) portion of thelicensing examination will be waived. The "waiver letter" must be presented: to the school to show the number of education hours required of the candidate, at the time of the examination, and at the time of application for licensure. EXAMINATION - If the applicant has been actively licensed in another state for the precedingtwo years, he/she will be required to take only the Utah state portion ofthe examination. If the applicant has been on an inactive status in anotherstate for any portion of the past two years, he/she will be required to takeboth the national and Utah state portions of the examination. The general portion of the exam may not be waived for licensees from California due to the way California administers their exam. TRUST ACCOUNT - If the applicant is a principal broker, he/she must establish a real estatetrust account in this state. CONSENT TO SERVICE - Upon applying for licensure, the applicant must submit to the Divisionan irrevocable written consent allowing service of process on the Commissionor the Division. PRINCIPAL BROKER AFFILIATION - If the applicant is an associate broker or sales agent, the principalbroker with whom he/she is affiliated must hold an active Utah license. APPLICANTS LICENSED IN OTHER STATES A person who is licensed in another state as a real estate principalbroker, associate broker or sales agent may become licensed in Utah by successfully completing specific education hours requiredby the Division with the concurrence of the Commission, and by passing thestate and, in some cases, the general portion of the Utah real estate licensingexamination. The general portion of the exam may not be waived forlicensees from California due to the way California administers their exam. If the license in another state is expired, the applicant will be required to comply with all of Utah'sprelicensing requirements. Education and examination waivers will not beprovided. The applicant must also comply with each of the following requirements: Application - The applicant must submit an application for examination and license inaccordance with the requirements of the state of Utah. License History - The applicant must be or have been licensed as a principal broker, associatebroker or sales agent in another state. Proof of licensure (a "history letter")from the regulatory agency of each state of previous licensure must be providedto the Division of Real Estate. Education Documentation - A waiver toward the Utah education requirement may be granted for educationtaken in another state. The applicant must provide to the Division validdocumentation of any certified real estate education taken in another statethat correlates with the education requirement of the state of Utah. Validdocumentation shall show proof of completion of the subject matter, the dateof completion and the number of classroom hours of each course taken. The applicant will be required to take a minimum of 12 classroom hours inUtah License Law, and may be required to take additional real estate educationhours. The applicant will be notified by the Division of his/her specificeducation requirements in the form of a "waiver letter." WAIVER LETTER - Upon receipt of the "license history" and the documentation of previouslycompleted real estate education, the Division will determine how many hours,if any, of Utah's education requirement may be waived and how many hoursthe applicant will still be required to complete before he/she will be allowedto sit for the examination. The licensee will be notified of his/her educationrequirements in the form of a "waiver letter." If applicable, the "waiverletter" will also indicate whether the general (national) portion of thelicensing examination will be waived. The general portion of the exam may not be waived forlicensees from California due to the way California administers their exam. The "waiver letter" must be presented: to the school to show the number of education hours required of the candidate, at the time of the examination, and at the time of application for licensure. EXAMINATION - If the applicant has been actively licensed in another state for the precedingtwo years, he/she will be required to take only the Utah state portion ofthe examination. If the applicant has been on an inactive status in anotherstate for any portion of the past two years, he/she will be required to takeboth the national and Utah state portions of the examination. The general portion of the exam may not be waived for licensees from California due to the way California administers their exam. RECIPROCITY The State of Utah currently has signed reciprocity agreements with Wyoming, Colorado, Idaho, Montana, and Alberta, Canada. To apply for reciprocity, send us a written request for licensing through reciprocity, including what states you currently have and previously have had a license in, as well as your contact information. Have the state(s) send a certified license history to us (see contact information ). The reciprocal state MUST show that your license is on an active status. Once we receive your written request and the certified license history/histories, we will generate an application form for you. We will also send you: a questionnaire, the Consent To Service form and acknowledgement, which must be signed and notarized; 2 fingerprint cards; and the fingerprint waiver form (fingerprints required for sales agent applicants only - not for broker applicants). Fingerprints must be obtained by the applicant. The application and other relevant forms must be completed and submitted with the $100 licensing fee and $12 recovery fund fee for sales agents or $18 recovery fund fee for brokers (plus $39 fingerprint processing fee for sales agent applicants). If a broker applicant wishes to open his or her own company, additional paperwork and fees are required. See " Opening Own Business " information above. EXAMINATION PROCEDURE Education - Before an applicant will be allowed to sit for the examination, he/shemust have completely satisfied the appropriate educational requirement. Application - The candidate should obtain the Candidate Handbook from the pre-licensingschool. This handbook will outline the procedure for registering for andtaking the examination. Date/Location - The examination will be given twice daily (Tuesday thru Saturday) in theSalt Lake City area. The examination is also available at the testing centersin Provo, Ogden, Las Vegas, Nevada, and Grand Junction, Colorado. Waiver Letter - Any candidate who is granted a waiver of the general portion of theexamination must submit proof of such waiver from the Division at the timeof application. Questions - The test consists of 80 questions on the general portion of the examination,40 questions for sales agents and 50 questions for brokers on the state portionof the examination. Both the general and state portions of the examinationmust be passed within a six-month period of time. More Information - Please refer to the Candidate Handbook for complete details on takingthe examination. Special Services - The testing center complies with the provisions of the Americans withDisabilities Act (42 USCS Section 12101 et seq.). If the candidate has adisabling condition, he/she may request special testing services. The disabilitymust be verified by a professional who is qualified to diagnose and documentthe disability. Utah Department of Commerce Home | Utah Division of Real Estate Home | Contact the Division of Real Estate | Site Map | Links

Real Estate Investment Trusts

Investment Services Real Estate Instruments in the Yahoo! Directory Search: the Web | the Directory | this category Investment Services > Real Estate Instruments Email this page Suggest a Site Advanced Search Directory > Business and Economy > Shopping and Services > Financial Services > Investment Services > Real Estate Instruments CATEGORIES Real Estate Investment Trusts (110) SPONSOR LISTINGS ( What's this? ) Matrix Capital Partners - private equity firm focused on multi-family real estate investments and the preservation of affordable housing communities. SITE LISTINGS By Popularity | Alphabetical ( What's This? ) Sites 1 - 31 of 31 RealEstateCourseReviews.com - read and write reviews of the most popular real estate investing courses. Also offers products, articles, and links related to real estate investment. Oarlock Investment Services, Inc. - specializes in investment real estate for self-directed retirement accounts. Lend Lease Corporation Limited Lend Lease Real Estate Investments - diversified investment manager offering real estate and mortgage products. George Smith Partners, Inc. - commercial mortgage brokerage firm specializing in financing acquisition, construction, and mezzanine loans in addition to joint venture equity and highly leveraged participating debt. Cashflow Property Network - offers members insight on where to invest, what types of real estate to invest in, and what to expect as a real estate investor. Intercontinental - features investment, development, and asset management. Legacy Partners - management and investment company with properties in the western states. The J.E. Robert Company - commercial mortgage investment and asset management firm with offices in the U.S. and France. Charter Municipal Mortgage Acceptance Company (AMEX: CHC ) - invests in tax-exempt bonds, the proceeds of which are used by borrowers to finance and refinance the development and ownership of multifamily housing nationwide. Bancroft Capital - real estate investment and consulting company specializing in the western United States. L & B Group - provides real estate investment advisory and management services to institutional investors. LNR Property Corporation - invests primarily in real estate properties, loans, and securities. New Boston Fund, Inc. - offers information on activities and investment team. Capital Commercial Investments (CCI) - real estate investment company. Maverick Consulting Group - consulting for residential, office and retail property investment internationally. RealtiCorp - real estate trading company that does research based land investing to identify, acquire, and sell land. Krupp Funds Group American Spectrum (AMEX: AQQ ) - diversified real estate investment and management company. Sagam - specializing in investments and trading in Mortgage Backed Obligations an the Dynamic Currency Unit (DCU). RealNet USA - provides a wholesale method of acquiring, financing, insuring, and managing real estate investments. Phoenix Capital - specializing in acquiring income-generating real estate assets by purchasing property units from individuals involved in limited partnerships or syndications Infinity Commercial Real Estate Group - specializing in 1031 Tax Deferred Exchanges, and focusing on income producing properties such as apartment complexes, office buildings, and retail centers. Asia Pacific Capital - acquisitions include office, hotel, retail and residential properties. Institutional Real Estate Advisors - investment options for ERISA multi-employer plans, corporate plans, and related investment managers. TDM Properties - properties in Australia, New Zealand, and the South Pacific. Buy A House.com - offering real estate investment services assisting people in creating real estate wealth. Gravitas Holdings - financial structuring engine at the heart of a group of companies that focuses on property acquisitions, procurement, sales, and consultancy services. Asset Marketing, Inc. - real estate holding offers investment, marketing, development, and management services. Property-Invesmtent.com - provides clients with professional advice regarding foreign property investments. Matrix Capital Partners [SPONSOR] - private equity firm focused on multi-family real estate investments and the preservation of affordable housing communities. Investment Services > Real Estate Instruments Email this page Suggest a Site Advanced Search Directory > Business and Economy > Shopping and Services > Financial Services > Investment Services > Real Estate Instruments Search: the Web | the Directory | this category

Home Mortgage Home Equity

State Farm Bank® - Home Mortgage Loans -- Search statefarm.com® Powered by Google™ Banking Bank accounts Credit cards Loans Home Mortgage Home Equity Vehicle Security Safeguards Find an agent by zip/postal code Advanced Search 24-hour Customer Service Limited Service 12am-5am CT 1-877-SF4-BANK 1-877-734-2265 HOME MORTGAGE LOANS > Learn about mortgages Select a Product ==================== CENTERS - Purchase - Refinance - Affordable Housing ==================== PRODUCTS - Fixed Rate - Adjustable Rate - Affordable Housing ==================== LENDING PROCESS - How to apply - Pre-approval ==================== MORTGAGE TOOLS - Calculators - FAQ - Mortgage glossary - Application checklist - House hunting tips - Home comparison chart ==================== CUSTOMER ASSISTANCE - Access my account - Contact us - Mortgage Inquiry - Locate an Agent > How to apply > Access my account > View on-line mortgage application status > Contact us Information Minimum loan amount is $25,001 Maximum loan amount is $650,000* * Larger loan amounts available by request on an individual case basis. · Variety of products: - Fixed rates - Adjustable rates - Affordable housing · Pre-approvals available · Can be used for purchasing or refinancing: - Primary residence - Second home - Investment property (availability varies by mortgage product). Properties may be a single family home (1-4) unit, condominium or Planned Unit Development (PUD) · Loans to finance the construction of a property are not available. However, any of the mortgage products may be used for a mortgage upon completion of the construction · Rates may change daily based on market conditions · Fees and closing costs vary by geographic area and the type of loan · Maximum loan-to-value varies by product and situation but can be as high as 97 percent · Property that is for sale or has been sold (i.e. "bridge loans") is not eligible · FHA and VA loans are not available at this time Centers · Purchase center · Refinance center · Affordable housing center More About Mortgage Loans · Rates · Products · Mortgage Calculators · Frequently asked questions · Home mortgage glossary · Application checklist · House hunting tips · House hunting checklist · Home comparison chart · How to apply for home mortgage loans · 24-Hour account access via phone and Internet · Learn how to stop mortgage fraud Related Links · Home Equity Loans/Line of Credit · Mortgage Disability Income Pricing and APR Assumptions Location: Pricing could vary based on the state where the property is located. Contact a Mortgage Consultant for a price quote based on your property location. Loan amount: $200,000 for conforming products; $500,000 for JUMBO products Loan-to-value ratio: 80% or lower Property type: Single Family Primary Residence Loan purpose: Purchase only Escrow: Customer escrows for taxes, insurance, etc. as part of monthly payment Closing Costs/Prepaids: Estimated at 1% of the purchase price/value of the home Lock period: 30 days Income Documentation: All income used to qualify for a loan is documented Additional Notes · Mortgage rates change on a daily basis and have the ability to change within the day depending on market conditions. · Your rate at loan approval may be different based on underwriting considerations and your individual financing request. · Fees and closing costs vary by geographic area and the type of loan. · All loans are considered as either a conforming loan or a JUMBO loan (also known as a non-conforming loan). A conforming loan is a loan with a mortgage amount that does not exceed eligibility limits for purchase by the secondary mortgage market (i.e. Fannie Mae, Freddie Mac, etc.). A JUMBO loan is a loan with mortgage amount that exceeds the eligibility limits for purchase by the secondary mortgage market. · The APR and payments on Adjustable Rate Mortgage ( ARM ) Loan Products are subject to change after the loan is closed due to the product's variable-rate feature. For good neighbor service in your mortgage loan process, call your local State Farm agent, call State Farm Bank toll-free at 1-877-SF4-BANK (1-877-734-2265) or submit your mortgage inquiry online. *Some products and services may not be available in all areas. [ home | sitemap | my account | login | register | contact us | privacy | terms of use ] [ insurance | banking | mutual funds | planning & learning | agents | about us ] Search statefarm.com® Powered by Google™ Equal Housing Lender | Member FDIC

Home Equity Conversion (HEC).

Home Equity Conversions: Reverse Mortgages Home Equity Conversions: Reverse Mortgages Authors: Celia Ray Hayhoe, Ph.D, CFP®, Family Resource Management Cooperative Extension Specialist and Stacey Williamson, Graduate Assistant; Virginia Tech Publication Number 354-025, Posted April 2004 Many senior adults are finding it hard to live on their fixed retirement incomes and are looking for ways to supplement those incomes. For some, the largest asset they own is their home, but they do not want to sell their home and move. For these individuals, there is an option called Home Equity Conversion (HEC). One type of home equity conversion is a reverse mortgage. The equity or cash value of the house is used to provide income to repay the loan. All reverse mortgage options are not the same. They have different eligibility requirements, income amounts, timing of payments, interest rates, and/or initial costs. Homeowners should compare the different options, keeping in mind their goals and needs. Advantages The value of your house, not your income, is used to determine eligibility. You can receive a lump sum, a line of credit, or a monthly amount, without having to make a monthly repayment. You do not have to sell your home and move, and can continue to live in the same familiar surroundings. You do not have to worry about losing your home to foreclosure since the payments are made out of your equity in the home, not from your income. The loan must be repaid when the house is no longer used as your personal residence. However, the lender can only look to the proceeds from the sale of the house for repayment. They cannot go to your heirs if the house sells for less than what was borrowed. Money can be used for any purpose. You must attend a free HECM/HUD approved counseling session to see if this type of mortgage is right for you. Disadvantages Interest for a reverse mortgage is compounded, and cannot be deducted on income taxes until you repay it. The income you receive decreases the equity in your home, and the equity may not be adequate for your future needs or for your estate. Interest rates and initial costs (application fees, points and closing costs) are usually higher for a reverse mortgage than for other equity loans. Income ends when you sell your home or no longer use it as a principal residence. Payments may affect Supplemental Security Income and Medicaid payments. You must attend a free HECM/HUD approved counseling session. This may add time to the process of obtaining a loan. You may need to pay off your existing mortgage out of the proceeds of your reverse mortgage. You will be required to maintain the house, pay the taxes, and carry property insurance. Eligibility You could be eligible if you own your own home, use the home as your principal residence, and are at least 62 years of age. You must also have adequate equity in the home. A lender looks at the equity in the home plus any expected appreciation or depreciation in the value of the home to calculate a base amount. The costs associated with any reverse mortgage loan (application fees, interest rates, closing costs, initial charges, sales commissions, and homeowner's insurance) also must be considered. All reverse mortgages currently available in Virginia require homeowner's insurance. The lender and the homeowner must work together to determine the type of payment, the payment amount, and the time period. This is determined not only by the calculations of the base amount by the lender, but also by keeping your goals and financial needs in mind. Income Income from a reverse mortgage is not taxable, and will not affect Medicare eligibility or benefits. But the added income can affect both Supplemental Security Income and Medicaid eligibility and benefits for Virginia residents. Confused? A home equity conversion is not a home equity loan! Home-equity loans require that a homeowner has enough income to pay back the loan, and the payments are made in monthly amounts. A home-equity loan would not work for the majority of senior adults who are living on limited fixed incomes and who could not afford a loan payment. Example A wide variety of loan options are available depending upon your age, the amount of equity available, the time period of the loan, and the way payments are disbursed. For example, Mary Jones, a 75-year-old widow whose home is her principal residence, is looking at a ten-year reverse mortgage that will provide her with additional monthly income of approximately $450. At the end of the ten years the monthly income payment will stop. But because her loan is through an insured lender (loans offered by HUD approved lenders have government guarantees), the loan will not have to be repaid until she sells the home, moves, or dies. Home Equity Conversion Checklist These questions can to help you determine if you are eligible for a home equity conversion (HEC). YES NO 1. Are you 62 years of age or older? _____ _____ 2. Is your mortgage paid off in full or nearly so? _____ _____ 3. Do you use your home as your primary residence? _____ _____ If you have answered yes to questions 1 through 3, you might want to consult with an HEC lender for specific information. The following questions will help to determine if you are eligible for a Housing and Urban Development (HUD) home equity conversion. A HUD-HEC is similar to other HECs but with additional requirements for the property and residents. 4. Is your home a single-family dwelling? _____ _____ 5. Will your home probably meet HUD minimum property standards? _____ _____ 6. Is your family income less than 80% of area median? _____ _____ If you have answered yes to questions 1 through 6; you might want to consult with a HUD-HEC lender for specific information. The following is a list of HEC/Reverse mortgage programs. FHA - HECM (Home Equity Conversion Mortgage) Guaranteed by FHA/HUD Flexible Income Payment Option Growing Line of Credit Maximum Lending Limit - $ 280,749 Cash Account Flexible Income Payment Options Growing Line of Credit Higher Equity Release Options No Maximum Lending Limit HomeKeeper by Fannie Mae Guaranteed by Fannie Mae Line of Credit Options Maximum Lending Limit - $ 322,700 Zero Point Cash Account Closing Costs Limited Minimum Draw at Closing Required Interest Rate Cap No Maximum Lending Limit The following lenders offered HEC/Reverse mortgages as of March 2004: Mortgage Capital Investors Equity Division 6571 Edsall Road Springfield, VA 22151 (703) 941-0711 East West Mortgage - HECM, HK, CA 4321 Northview Drive Bowie, MD 20716 (866) 9REVERSE [(866) 973-8377] (301) 809-1568, ext. 225 Financial Freedom Senior Funding Corp. (Subsidiary of Lehman Brothers, FSB) - HECM, HK, CA (800) 368-3254 Reverse Mortgages of the Mid-Atlantic - HECM, HK, CA (800) 745-0102 Suntrust 564 Lynnhaven Parkway Virginia Beach, VA 23452 (757) 431-4876 Fidelity & Trust Mortgage, Inc. - HECM, HK, CA 7229 Hanover Parkway Suite C Greenbelt MD 20770 (703) 273-3797 (800) 458-4624 People's Choice Mortgage - HECM, HK, CA (757) 564-8596 Wells Fargo Home Mortgage - HECM, HK (888) 292-1180 Inclusion on this list of lenders does not imply endorsement by Virginia Cooperative Extension, nor does omission from this list imply a lack of endorsement. Home Equity Conversion Comparison Worksheet Name of Lender Features Payment Option: ----------------------- ----------------------- ----------------------- Lump Sum Option Line of Credit Option Monthly Benefit Option APR (Annual Percentage Rate) Time Period Application Costs Closing Costs Sales Commissions Insurance Costs Other Initial Charges For More Information AARP Home Equity Information Center 601 E. Street NW Washington D.C. 20004 (202) 638-2863 http://www.aarp.org/revmort/ Reverse Mortgage Money (866) 363-1914 requestinfo@reversemortgagemoney.com American Credit Counselors Tudor Square, Ste. 10 211 Roanoke St. Christiansburg, VA 24073 (800) 926-0042 virginia@cccsswva.org http://www.americancredit.org HECM Counseling National Center for Home Equity Conversion 360 Robert Street North Suite 403 St. Paul, MN 55101 (651) 222-6775 People Incorporated 1173 W Main St Abingdon, VA 24210-2428 (540) 623-9000 HECM Counseling Original authors: Patricia Gorman, graduate assistant, and Kathleen Parrott, former Extension housing specialist, Virginia View this document in PDF format Visit Virginia Cooperative Extension

Home Loan Home Loan

Mortgage Refinancing, Loan Refinance Contact | Mortgage Rates | Mortgage Calculators Mortgages Refinancing Debt Consolidation Mortgage Resources Loans FHA Loan VA Loan What Type Of Loan Are You Looking For? Please Select.... VA Home Loan Home Loan VA Home Refinance Home Refinance FHA Home Loan What Is The Approximate Value Of Your Property? Factors to consider before refinancing a mortgage If you are considering refinancing your home, there are several factors you should think about before making your decision. These factors include the interest rate on your current mortgage, the current market interest rate, how long you plan to live in your current home, and whether or not you need money for other things (such as home improvement, a new car loan, or paying off credit cards). Qualify for a Streamline Refinance Today's Mortgage Refinancing Rates If you would like advice about refinancing, you may speak to a refinancing specialist at 800-930-9201 . Things to consider before refinancing: 1) The Interest Rate You Are Paying Consider the interest rate you are now paying before refinancing . Compare it against the current interest rate to see how much you would save by mortgage refinancing. Use our free mortgage calculator to determine your new monthly payments. (Use our Mortgage Calculator ) 2) The Current Interest Rate Check the current interest rate. To get the benefits of a lower rate, you may have to pay fees associated with the loan, unless your lender is doing a no fee loan. Before committing to a refinance , be sure you have discussed the fee options with your loan officer. [Get the Current Mortgage Refinancing Rates ] 3) How Long You Will Live In Your Home The median length of stay in a home is 8.2 years. However, you may have a better idea of how long you will be in your home. If you do not plan on owning your home for much longer, the lower payments associated with the refinancing may not cover the mortgage refinancing fees. If you plan on staying in your home for a long period of time, refinancing could be an excellent way to reduce your monthly payments. Also, if you are planning on moving into a new home while retaining the old home as a rental property, refinancing is a solid plan. You can lower your monthly mortgage payment and in turn, increase your rental income. 4) Consolidation If you have several outstanding bills, you may want to consider refinancing your home and in turn, consolidating and paying off your other debts. If you have equity in your home, you may be able to access that equity through a "cash out" refinance . You could choose to apply that equity to a debt consolidation plan, a new car, or home improvements. For what reasons would it make sense for me to refinance my mortgage? 1. If you are able to get a lower interest rate If you are able to get a lower rate that what you currently have, you can save tens of thousands of dollars over the life of your loan. Also, most lenders don't charge as many fees to refinance a mortgage and depending on how much equity you have in your home you may be able to roll the closing costs into your new loan, still have a lower balance than your original loan, a lower rate, and a lower payment. 2. Change the term of you mortgage Changing the term of your mortgage can help in several ways. First, if you were to refinance your current mortgage from 30 years to 15 years, you will accelerate the rate at which you pay towards principle each month meaning your house will be paid off quicker. Also, you will save an unbelievable amount of money in terms of interest because you would likely be taking 10 to 15 years off the life of your loan. Second, you can also refinance a 15 year mortgage to a 30 year mortgage. It seems like it might not make sense to do this, but if you have an immediate need to free up monthly cash-flow and you don't want to take out a home equity loan, this can work out to your benefit. When you take a 15 year loan and refinance it to 30 years you will have the same balance only the payments can be hundreds of dollars less than the 15 year loan. The only draw back to this is you will pay more in interest over the live of the loan. 3. You need a large amount of cash, now When you do a cash-out refinance you are leveraging the equity in your home in order to receive a lump sum of cash at closing. Many individuals and families use this type of loan if they want to remodel their home, or they have kids that are attending college soon. 4. You know you will be moving soon If you know that you will be moving in 3 to 5 years, you might want to consider refinancing to a 3 or 5 year ARM (adjustable rate mortgage). These loans typically have a much lower rate that a traditional fixed rate loan such as a 30 year fixed, but they do have a fixed rate for the first 3 or 5 years of the loan. This will enable you to benefit from the lower rate, but you won't ever have to worry about the risk of a rate adjustment because you will be selling the home before the fixed-rate period ends. What you should look for in a mortgage company 1. Is the company reputable There are literally thousands of mortgage companies all over the country. It is important that you choose a reputable one. Most reputable companies will be part of the Better Business Bureau or other community watchdog group. Good companies will also have websites that rank well on search engines such as Yahoo and Google. 2. Integrity of their loan officers Many companies in this industry will do what ever they can to get away with charging you as much as they possibly can. Some of the ways they do this is not disclosing all the third party fees involved in a loan such as title insurance, appraisals, pre-paid tax and insurance escrows etc. It is important that you ask the loan officer you're speaking with about third party fees. If you don't they may not tell you and give you a good faith estimate that sounds fair, but at closing you'll find out that you have to pay a couple of thousand dollars more in fees you were unaware of. A good loan officer at a reputable company should have no problem disclosing all fees that pertain to your loan and should also make sure you understand what the fees are for. Divorce and Refinancing If you are divorced, refinancing your home can make things easier in regards to what happens to mortgage payments when the home is given to one of the parties. If you refinance the house, you can have your ex-spouse's name removed from the deed. Whoever gets the home will now be the sole owner and will be solely responsible for the payment. If you don't have one of the names taken off the deed, the person who is responsible for making the payments might fall behind and will effect the credit of the person's whose name is still on the deed even if they don't have the house. Refinancing Adjustable Rate Mortgages (ARMs) An adjustable rate mortgage is just that. After the fixed-rate period of your loan, typically 3 or 5 years, the rate will adjust with the market. If rates remain low, no problems arise. On the other hand, rates can go up. Sometimes this can cause a mortgage payment to almost double. Many people that have an ARM are not financially ready for a large increase in their house payment. You can do several things to hedge the risk of a rate increase. First, you can refinance your loan into a fixed-rate loan before the end of the fixed period of your ARM. You will likely see a payment increase, but it will be a one time increase. If you keep the ARM, your payment might keep increasing year after year. Anther thing you can do is refinance into another ARM and have a fixed-rate for another 3 to 5 years. Just realize that you will likely have to refinance every 3 to 5 years. The same principles apply to home equity lines of credit (HELOCs) Your home is not just a home - it is a financial tool You can do many things with your home other than just live in it. You can use the value in your home for fiscal gain. First off, you can use the equity in your home to pay off debt at a much lower rate. For instance, say you're paying $1,500 a month on $30,000 of debt. If you have the equity, you can do a cash-out refinance and pay off the debt and your mortgage payment might only go up $300. This gives you an additional $1,200 in monthly cash flow. For this to be really effective you need to realize that you can't get into that much debt again because you might not have the equity to bail you out again. Another thing you can do is take all the equity out of your home and invest it. You may be able to make more money on the investment than you pay out in interest over the life of the new loan. It is important to know that if you choose to take cash out of your home and invest it, you should seek the advice of a certified financial planner. Not many people take advantage of this because it can be risky, but it is an option. If you are considering refinancing , also remember that there are a variety of different mortgages. If you plan on living in your home for a long period of time, you may want to consider the traditional fixed-rate 15- or 30-year loan. Another option is to choose an adjustable rate mortgage and consider refinancing again in a few years. By refinancing , you can choose the perfect mortgage for your needs, which may have changed since you first bought your home. A mortgage broker can be a useful tool to help find the most appropriate mortgage for your refinancing. Info on an FHA STREAMLINE REFINANCE You may also call a specialist at 800-930-9201 to get additional advice about what factors you should consider when deciding whether or not to refinance. The specialist can also show you what mortgage brokers and lenders are the best to deal with. If you have served in the Armed Forces, you can qualify for a VA Loan . A Debt Consolidation Loan may save you hundreds of dollars per month. If you have questions or would like help with your mortgage, you can call us at 800-930-9201 . "Nathan, I wanted you to know that everything went very well at our closing. It was quite pleasant. Thank you for everything." -Vicki Ficklen Mcdonough, GA More Testimonials Equal Opportunity Lender License Information We can help you find the lender (mortgage bank) that can get you the best deal for your financial situation (including setting you up with the best financing rates and loan term). MRC does not originate loans in MA, NJ, NY, ND, PA, VT, NV, WV, or DC. If you are getting a mortgage in one of these states, we will help you by directing your information to a lender in your state. Get additional information about a VA Loan , Home Loan , or 1031 Exchange : Privacy Policy .