Can I talk over phone with a HECM counselor instead meeting face-to-face?
Answer:Yes. As of April 2007, HECM borrowers living in rural areas or those with limited mobility can have a telephone counseling session with a HECM counselor instead meeting face-to-face. Prior to that change, HUD HECM loan origination procedures required that every HECM borrower has to go through in person counseling with a HECM lender or a HECM counselor.
Currently, if a borrower wants to forego HECM counseling in person, both the HECM counseling and loan application may be carried out over phone.
To receive counseling over phone, potential HECM borrowers should contact a HECM lender, a HECM counseling local agency or a HUD approved HECM counseling network. Information on those counseling networks can be received through the AARP Foundation, the National Foundation for Credit Counseling (NFCC) and Money Management International (MMI).
Regardless of receiving HECM counseling in person or over phone, a HECM counseling certificate signed by both borrower and counselor has to be part of the HECM lender's loan related file.
Our advice: Be sure to ask your lender about FHA loans. FHA loans have very competitive interest rates because the loans are insured by the US Federal Government. Even if you have had serious credit problems, such as bankruptcy, it is easier to qualify for an FHA loan than a conventional loan. Also, taking an FIXED rate loan while the interest rates are still low is a smart idea. Check your eligibility here:
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Common misspellings: mortage and morgage