Finance
Vermont borrowers who use a 'reverse mortgage' must meet which primary eligibility requirement?
AThey must be first-time homebuyers
BThey must be 62 years of age or older and own their primary residence✓ Correct
CThey must have a credit score above 700
DThey must be current U.S. military personnel
Explanation
FHA Home Equity Conversion Mortgages (HECMs, also called reverse mortgages) require borrowers to be at least 62 years old, own their primary residence, and have sufficient equity. Reverse mortgages allow seniors to access home equity without monthly mortgage payments, with the loan repaid when they move out or pass away.
Related Vermont Finance Questions
- Under TRID (TILA-RESPA Integrated Disclosure), the Closing Disclosure must be provided to the borrower at least how many business days before closing?
- A Vermont seller who takes back a 'purchase money mortgage' from the buyer is acting as:
- Vermont's 'homebuyer education requirement' for certain VHFA programs means buyers must:
- Vermont's 'land contract forfeit' in a contract for deed means if the buyer defaults:
- Vermont's 'imputed interest' rules for below-market seller financing require:
- An adjustable-rate mortgage (ARM) in Vermont is characterized by:
- Vermont's 'deed in lieu of foreclosure' arrangement allows a homeowner facing foreclosure to:
- Vermont's note (promissory note) in a mortgage transaction is:
Practice More Vermont Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Vermont Quiz →