Time-Sensitive Situation
When a reverse mortgage borrower passes away, the loan becomes due. Heirs typically have 6 months to pay off the loan or sell the property. Acting quickly preserves your options and any remaining equity.
Understanding Reverse Mortgages
How HECMs Work
Home Equity Conversion Mortgages (HECMs) allow seniors to access equity while living in their homes. The loan balance grows over time but is capped at 95% of appraised value.
What Heirs Inherit
Heirs inherit the property but must satisfy the reverse mortgage. Any value above the loan balance belongs to the heirs. Castle Rock appreciation often means significant equity remains.
Non-Recourse Protection
HECMs are non-recourse loans. If the loan exceeds the home value, heirs are not personally liable. You can walk away or we may find value the lender does not see.
Castle Rock Neighborhoods We Serve
HECM Servicer Timeline
After borrower death, the servicer must be notified. They typically provide 6 months for heirs to pay off or sell, with possible extensions. Our 7-14 day closing timeline easily meets these requirements.
Frequently Asked Questions
Can you buy a Castle Rock house with a reverse mortgage?
Yes. We purchase properties with reverse mortgages (HECMs). The reverse mortgage is paid off from sale proceeds at closing. You receive any remaining equity.
How long do heirs have to pay off a reverse mortgage?
Heirs typically have 6 months from notification, with possible extensions. We can close in 7-14 days, well within lender timelines.
What if the reverse mortgage exceeds the home value?
HECMs are non-recourse loans. Heirs are not personally liable for any shortfall. If the loan exceeds value, you can simply walk away or we may still find value in the property.
Is there equity left in a Castle Rock reverse mortgage property?
Castle Rock property values have appreciated significantly. Many properties have substantial equity remaining even after HECM payoff. We provide free assessments.
How fast can you close?
We close in 7-14 days. This is well within the typical 6-month HECM payoff window, giving heirs peace of mind.