A brand new jumbo reverse mortgage product is expected to be a boon for senior borrowers in the Golden State.
The new product, dubbed the Homesafe Reverse Mortgage, is now available to California borrowers who are at least 62 years old.
California is one of four states — including Florida, Hawaii and New Jersey — where the product is initially being launched.
Behind the offering is Urban Financial of America LLC, which plans to eventually go national with the program.
The maximum loan amount is $2.25 million, and borrowers will have the opportunity to take a lump-sum draw at closing.
There are no mortgage insurance premiums or up-front origination fees.
Urban noted that condominiums appraised at $500,000 or more won’t need for the complex to be approved by the Federal Housing Administration.
