The HECM Saver is the industry's answer to staying competitive with a standard HELOC or Home Equity Line of Credit. In todays turbulent hard to get a mortgage times, the HECM saver is the answer to many seniors problems. The saver has also gotten extatic reviews from very in depth analysis's of the program. The saver only charges .01% times the value of the property (or the 625,500 current limit) for the upfront mortgage insurance. Example, a 500K house the upfront MIP would be $50.00 Vs. $10,000.00 with a standard reverse.
The HECM Saver is the perfect loan for someone that says "A reverse mortgage is too expensive", it is a great option to tap into tax free equity with a substantially reduced upfront cost.
What is the catch: The Saver has a higher interest rate and gets you less money compared with the Standard Reverse.