When the owner dies, who gets the house?
2006-10-15 13:16:27 · 4 answers · asked by Jim C 5 in Business & Finance ➔ Renting & Real Estate
Under normal circumstance and when a will or life estate has been prepared ... the heirs will inherit the home. The home will have a lien for the outstanding balance of the FHA reverse mortgage ( the governments home equity conversion mortgage). The heirs will have up one yr. (if they notify the lender in a timely manner of the death of the owner) to sell the property and the loan would be paid off from the proceeds of the sale. Heir(s) walk away with the remaineder (sale price - loan balance).
A good site to learn more on the governments program is at AARP.org. search for reverse mortgages.
2006-10-15 14:00:31 · answer #1 · answered by @correct 1 · 0⤊ 0⤋
That wouldn't be a reverse mortgage, if the owner dies without a will, the government does, it becomes a probate and it gets put up for sale the highest bidder gets to buy it (with lots of requirements) highest bidder can still be outbidded in court.
2006-10-15 20:25:08 · answer #2 · answered by You are loved 5 · 0⤊ 0⤋
read tips on loans and mortgages to help you better on this site
2006-10-15 20:19:15 · answer #3 · answered by lushy 3 · 0⤊ 0⤋
The bank, that is part of the deal.
2006-10-15 20:38:05 · answer #4 · answered by tcmoosey 3 · 0⤊ 0⤋