A move to a condominium may seem daunting, but in actuality, it can allow for more freedom.
Columbus, OH (PRWEB) September 25, 2013
As older adults consider a move to smaller home or condominium, cash flow can be a concern. One method of financing that’s available to help alleviate some of this concern is the Home Equity Conversion Mortgage (HECM) that allows seniors to buy homes at a fraction of the cost points.
Ann Marie Harrison, a licensed mortgage broker at Security 1 Lending, offers tips related to home financing. Harrison states, “...the HECM for Purchase program is an aged-based mortgage backed by the FHA for folks aged 62 and older. Unlike a traditional mortgage, monthly payments are deferred and the loan balance increases over time. Because the loan is backed by the FHA, neither the borrower(s) nor their heirs are personally liable for the debt.”
Using only a portion of cash on hand and having no monthly payments are two of the many benefits of this type of home financing. In addition, the HECM opens up the opportunity for other positive life changes during the senior years.
“A move to a condominium may seem daunting, but in actuality, it can allow for more freedom,” stated Eriech Horvath, president, Stone Works Partners. “The advantages are many, and ultimately, those who decide to move to one of our communities feel a sense of optimism regarding their senior years.”
According to recent statistics released by the American Association for Retired People (AARP), adults aged 50 and over are the largest growing segment of our population. In a video on the AARP website, Former United States Secretary of Housing and Urban Development Henry Cicneros stated that there are currently about 2.8 million baby boomers, but “...before the baby boomers are through...and reach age 65, that (population) will be something like 70 million people.”
The Landings at Maple Bay and The Villages of River Oaks are two Stone Works Developments located in Licking County, Ohio, which is listed among the best places to live. These communities offer many amenities, including bike and walking trails, active arts communities, reduced crime rates, and the many offerings of Dennison University for continuing education and interesting social activities. Additionally, the communities offer deluxe clubhouses with large social areas, fitness facilities, and heated swimming pools.
“We have many buyers that are utilizing the HECM program to purchase their dream condo,” Horvath continued. “Depending on their age, we have clients that are buying a $200,000 home with a down payment of only around $70,000, and they never have a monthly payment. This program is definitely worth exploring if you’re over the age of 62.”
The condominium project must be FHA approved to be eligible for the HECM program. The Villages at River Oaks is approved, and The Landings at Maple Bay will also be approved and eligible for the program in the near future.
For HECM purchase information, contact Ann Marie Harrison at aharrison(at)S1L(dot)com. For more information about Stone Works communities, contact Linda Pedigo at 740 281 0967, lpedigo(at)stoneworksllc(dot)com. You may visit The Landings at Maple Bay on Facebook and The Villages of River Oaks at http://www.epconcommunities.com.