Reverse Mortgage

There are a lot of probable's there... Deeds of trust are public information in most states... Your county recorder's office (available online in most states), should have a copy of the deed of trust... This will show what the maximum payout would be, but they might not have received all those funds... Also, your theory of selling the home just to cover the debt is very flawed... If there is a reverse mortgage and the owner passes, then the home goes to the heirs... they can either pay off the mortgage and keep the home, or they can sell it... Either way, they have a responsibility to sell the home for what is worth, not just enough to pay off the mortgage. If what is owed is less than what the property is worth, then the lender will most likely foreclose and sell it that way... But in either case, the law states that foreclosed homes or homes being sold by the Executor of an estate must be marketed fairly and sold for fair, reasonable and highest amount. WilliamAcres.com

Checking county records is not a precise way of indicating what is owed to a Reverse Mortgage Lender. They record a note equal to 150% of the appraised value of the home at the time the loan closed. There is no telling what the current balance is without contacting the lender. And they aren't going to give you that information..

Finding out whether or not a home has a reverse mortgage is easily done via a public records search. Finding out how much is owed is nearly impossible due to the fact that there are two mortgages recorded at 150% of the principle limit. Unlike forward mortgages, this does tell you how much may have been borrowed at time of recording nor does it telly you exactly what kind of draws have been made payable to the senior. All technicalities aside, waiting for the home to revert back to the back might actually cost you more money in the end as banks don't foreclose on homes for free.

Regardless of the loan balance, whether it's higher or lower than the fair market value, the property will be listed at fair market value. .... You have no advantage in knowing this information. .... Happy funding, Rudi