The median starting loan limit across New Mexico is $155,946, and with a reverse mortgage New Mexico you borrow against what your home is worth. You’ll hear that starting amount called your initial principal limit. It's the full sum you can borrow at loan closing. For 180 federally insured loans inside New Mexico, the median home value that counted came to $351,000. Most borrowers remain where they are, yet 5 purchased a different house and 16 refinanced a previous reverse mortgage. An independent counselor reviews how a reverse mortgage works with you before your application. The state has 1 counseling agency with federal approval based in New Mexico.
The $2,000 Head of Family exemption and Bernalillo County’s value freeze
The federal reverse mortgage rules for every state require you to make the house your main home and maintain it. You also have to pay your property taxes and homeowners insurance. If you get behind on property taxes, your loan can go into default, and that lets the lender foreclose on your home. So local tax relief becomes an important way to meet reverse mortgage requirements.
If you live in Bernalillo County, the Value Freeze Program prevents your primary home's taxable value from going up. Taxable value is how many dollars the county taxes you on each year. You're eligible once you turn 65, or if you qualify as disabled under the Social Security Administration or Worker Compensation Act rules. Your modified gross income can't go over $44,200. To get the benefit, you need to apply 3 years in a row, and other New Mexico counties may have different rules. The Head of Family exemption takes $2,000 off your property’s taxable value anywhere in the state. Seniors aren't the only ones who qualify, and you claim it just one time.
Through NMLS, which agency licenses mortgage companies?
The mortgage industry is overseen by the Financial Institutions Division inside the New Mexico Regulation and Licensing Department. Protecting consumers is one of this office's main jobs. Every reverse mortgage lender, broker and loan originator in New Mexico holds a license through the Nationwide Mortgage Licensing System and Registry. On that registry you can look up the state’s 43 active lenders, or send the division your public questions about a licensee.
Submit a complaint to the Attorney General by phoning 1-800-220-0350
Complaints against any licensed mortgage business or person get investigated by the Financial Institutions Division. You can also submit a complaint about your mortgage lender to the New Mexico Attorney General's Consumer Protection Division. Reports of mortgage or foreclosure assistance scams are also accepted by that office. If you spot a scam or need help with your lender, call their Keep Your Home New Mexico hotline at 1-800-220-0350.
Is your loan covered by the Home Loan Protection Act of New Mexico?
The website of state regulators doesn’t tell you if this law covers reverse mortgages. Points and fees are the upfront money a lender collects at closing, and the home loan protection law puts state rules around them. Through this act, upfront private mortgage insurance gets its points and fees threshold exclusion from the Financial Institutions Division. If you’re researching a reverse mortgage New Mexico, the division and counselors can explain the state fee rules.
