Borrowers applying digitally for HomeSafe Second follow eight simple steps. The official application starts at Step Four.
Borrowers provide initial information allowing for a soft credit check. If eligible, borrowers will be provided their pre-qualification offer. To initiate the application, borrowers must speak with a loan officer.
General Timing: Same Day.
A Loan Officer reviews the borrower’s individual situation and helps tailor the loan offer accordingly.
General Timing: Usually within a few days. The call takes about one hour.
The Loan Officer sends borrowers a pre-application package. This package has loan information, a list of independent, HUD-approved counselors, and details needed for the next step (counseling).
General Timing: Borrowers usually get this by email right after the call, or by mail within a few days.
Borrowers must speak with an independent, HUD-approved counselor before applying. All borrowers and anyone named on the home title must join this counseling. The counselor explains how the loan works. After counseling, borrowers receive a certificate. They must sign and give this certificate to the lender to start their application.
Tip: Due to government rules, borrowers must schedule this meeting themselves. Scheduling it soon helps the application move faster.
General Timing: Borrowers choose when and how to set up this appointment. The appointment can be done over the phone or in person. The meeting lasts about one hour and costs $150–$200.
Borrowers upload important documents like mortgage statements and insurance details. Some documents are requested prior to application and others after. The lender reviews these documents. Then borrowers sign their application electronically by DocuSign. Esign is not required.
General Timing: Depends on how quickly borrowers can gather and upload their documents.
We set up the home appraisal and order title documentation. The appraiser will contact you to schedule a time to visit your property.
General Timing: The appraisal visit usually takes less than one hour. The full appraisal report takes about one week to ten days to complete.
The underwriter reviews all documents and decides if the borrower qualifies for the loan. Borrowers can speed up this step by quickly sending additional requested documents if asked.
General Timing: Approval usually happens within one week after the appraisal. Not all borrowers will qualify for financing and be approved.
Borrowers will receive a call from the Loan Officer to schedule an appointment with a notary who works with the title company. After signing, the loan closes. Borrowers receive the money in their bank account or by check about 4–6 days later.
General Timing: The meeting with the notary usually lasts about one hour.
This article is intended for general informational and educational purposes only and should not be construed as financial or tax advice. For tax advice, please consult a tax professional. For more information about whether a reverse mortgage fits into your retirement strategy, you should consult your financial advisor.
