How do I obtain reverse mortgage counseling? Am I required to attend reverse mortgage counseling? What if I don’t like what I hear in counseling?
At the time that you apply for a reverse mortgage the mortgage broker will assist you in obtaining mortgage counseling. If your reverse mortgage will be a federally insured mortgage the FHA has many counseling options available through HUD. If your mortgage is through a private lender they will have all the relevant information on the counseling classes in your area. You will be required to attend the class before you can apply for the reverse mortgage program.
Am I required to attend reverse mortgage counseling?
When you apply for a reverse mortgage you will be required to go through a financial counseling session. This is true for any type of reverse mortgage that is applied for, not just federally insured mortgages. This counseling is simply a learning experience that explains how a reverse mortgage works, your obligations during the reverse mortgage period and how your home will be handled after you pass away.
What if I don’t like what I hear at the counseling am I obligated to get a reverse mortgage?
The whole point of the reverse mortgage counseling session is so that you, as the consumer, fully understand the reverse mortgage process. If, at any point, you do not like how the program works you are free to stop the process. These counseling sessions are to ensure that you know, understand and agree with the reverse mortgage process. When this program first came into existence many people did not realize what they were getting into with a reverse mortgage. It has since become a requirement that all consumers go through the counseling process so there are no unanswered questions about the process.
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