a man and woman standing in front of a house for sale sign

Purchase Your Dream Home With An H4P

What Is a HECM For Purchase Loan? (H4P)

An H4P loan allows a senior to use the proceeds from their HECM loan to put down a down payment on a new property, essentially providing a reverse mortgage and new home in the same transaction. Borrowers can use their own money to cover 40-50% of the purchase price, while the HECM loan covers the rest. Using an H4P loan can significantly impact your finances and allow you to do more with your money without the worry of monthly mortgage payments.

Like all other HECM loans, repayment is not due until you no longer use the home as your primary residence, whether that means you move out, sell the property or pass away. Likewise, you or your family can then sell the home to repay the loan.

Watch our “HECM for Purchase” Video Below

Have You Thought About “Right-Sizing”?

At some point in retirement the decision for many seniors to “Right-Size” starts with carefully identifying your priorities, requirements, stage in life, and matching it to the home or community that is a perfect fit for you whether it be: 

  • Upsizing to a home that better fits your lifestyle
  • Downsizing to a home that is more manageable
  • Moving to a new “active” retirement community 
  • Moving closer to family 

Use the (Home Equity Conversion Mortgage) HECM for Purchase (H4P) product to buy a Right-Sized home that fits your needs without the financial burden of a mortgage payment. Combining a one-time down payment with the proceeds from a HECM allows you to complete a purchase transaction making it the same as if you bought your home with 100% cash. .

Since you don’t need 100% of the purchase price, the savings can allow you to reinvest the money back into your savings. The H4P can be just he thing you need to start living your retirement your way.

The HECM purchase loan is a great option if you:

  • Live on a fixed income and cannot use other traditional financing options.
  • Need a home to better suit your needs.
  • Want to hold on to some of the proceeds from your home’s sale.
  • Are ready to “right-size” your home, move closer to family or relocate to a more temperate climate.

Speak With A Licensed Advisor 800-822-1190

Eligibility Requirements

  • At least one homeowner needs to be 62 years or older
  • Purchased home must be a primary residence
  • Property must be a single-family home, 2-to-4 unit owner-occupied dwelling, FHA approved condo, or manufactured home that meets FHA requirements.
  • The difference between the purchase price of the new home and the HECM for purchase loan proceeds must be paid in cash from qualifying sources such as the sale of the prior residence, home buyer’s other assets or savings
  • The borrower must complete an FHA approved counseling session
  • Must meet minimal financial eligibility criteria as established by FHA
  • Find out if you qualify in 3 easy steps
a man and woman are laughing and hugging in the woods

Senior Lending is the #1 Rated H4P Company In Florida

As you can see, the Federally Insured HECM is a unique program that Senior Lending specializes in. So, when the time comes to “Right-Size,” let our experienced loan specialists help you purchase your dream retirement home. Our goal is to provide you and your family with financial peace of mind, so you can live out your retirement the way you want.

To speak with a HECM for Purchase Advisor, please call 800-822-1190. We’re an H4P company willing to talk you through everything you need to know to make smart decisions about your local HECM for Purchase.