- My mother recently passed away, she had a reverse mortgage on her property. I would like to buy it. How does this work? You need to notify the company that she has passed. The company will give you roughly 30 days to decide what you will be doing with the property. Then, you have 90 days to either refinance and pay out the mortgage or put the home on the market. You have essentially 120 days to do something with the property. If you're trying to sell or refinance, they'll give you up to two 90-day extensions.
- We are purchasing a property. We have a 1031 exchange we will be using as down payment, but the property has not sold yet. How can we do this? This is called a reverse 1031. Where is the property that is for sale located, and where is the property you are purchasing? If both properties are in our banking partner's footprint, both properties would be tied to a type of bridge loan. When the listed property sells, part of the bridge loan is paid off and permanent financing is put in place on the new property via refinance.
- I am in the process of a divorce. I am going to be purchasing our existing home from my soon-to-be ex. Part of my income is from a note buy-out of a business we owned. I have received payments for 11 months, and they will continue for 5 years. We can use the note income after receipt for 12 months, since the income continues for longer than 3 years, it can be used. As long as you have current ownership of the property, jointly, you would refinance the property into your name alone.
Jennifer Keenan, Sr Mortgage Consultant, NMLS# 101837
Tidewater Home Funding, 757-272-4199