California Lender Reverse Mortgage Rate Calculator

The California Lender Reverse Mortgage Rate Calculator

A rate calculator is used to assist borrowers in determining which mortgage product is best based on:

• The current interest rate
• The amount borrowed
• Closing costs
• Insurance premiums

The interest rate can greatly affect the payout amount to the borrower, especially if it is adjustable. If the interest rates go up with an adjustable rate, then the borrower may lose money in the long run. The goal for any borrower is to obtain a mortgage at the lowest interest rate possible, and to lock in the low rate at the time of the mortgage.

Reverse Mortgages

If you haven't already heard, reverse mortgages are quite popular for people aged 62 and over. Commercials fill the airways letting seniors know that financial freedom is only a phone call away. Before you make that call it is important to educate yourself on the benefits - as well as the pitfalls - of a reverse mortgage.

Types of Reverse Mortgages

There are three types of reverse mortgages available. They include:

• Lender insured
• FHA insured
• Uninsured

Each of these three mortgage types has benefits as well as potential problems for the borrowers.

Borrower Requirements

Obtaining a reverse mortgage can be fairly easy, as the requirements are few. Borrowers must meet the following criteria:

• Aged 62 or older
• Own their home, or owe very little on an existing mortgage
• Must reside in the home for the duration of the mortgage

These qualifications apply to both borrowers if it is a joint application. As long as these criteria can be met, there will be no credit check for the lender-insured and FHA insured mortgages. The uninsured mortgages will require that proof of regular income be met, since repayment is required at the end of the mortgage.

California Reverse Mortgage Lenders

Plenty of mortgage lenders provide reverse mortgages throughout the state of California. One of the most important things you can do to make sure you get the best reverse mortgage product when applying for a loan in California is to experiment with the various calculators available online.

Online Calculators from California Lenders

Online reverse mortgage rate calculators require specific information in order to give you a valid estimate of the money you will receive from a reverse mortgage:

• Your birth date and the birth date of your spouse.
• The estimated value of your home.
• Your zip code

If you are unsure of the value of your home you can use an online market value estimator to get an accurate idea of how much money your home is actually worth. Most reverse mortgage calculators will give you the option to input additional information to receive a more accurate estimate from the lender. Optional questions may include:

• Any remaining balance on your mortgage
• Any monthly payments toward mortgages
• The amount of money you hope to receive from the reverse mortgage

Specific Lenders and Calculators

Although there are seemingly countless lenders in California who are willing to issue reverse mortgages, here is a brief listing of some reputable lenders who offer reverse mortgage calculators online:

• Wells Fargo Mortgage: This lender is quite prevalent within California. The online calculator is easy to navigate.
• Streamline Reverse Mortgage: This California lender specializes in reverse mortgages. The calculator can be filled out online or over the phone.
• AARP: Although this highly reputable organization is not a lender, they provide an online calculator to assist potential borrowers with unbiased information.

Conclusion

Borrowers should carefully consider all of their options for a reverse mortgage in order to get the best deal and avoid any pitfalls. Speaking with a certified reverse mortgage loan counselor is a great idea for any borrower. Using a California lender reverse mortgage rate calculator can help individuals determine which mortgage offer is the best one for them.