Mom passed with reverse mortgage. A few questions

[Dublin ohio]

Mom passed 2 weeks ago and owns 136,000 on her house and it’s been appraised at 245,000. I would like to purchase the house, I am a first time home buyer and 50 years old in Ohio. I moved out of my apartment 2 years ago and moved in with my mother as her caregiver. A few questions.

1. Do I really need a real estate agent? (Seems like a waste of money if I already found the house)
2. With all the equity will I still need 20% down?
3. Should I go to a bank or mortgage broker?

Thanks for helping

Who are you buying it from. The estate?

 

[Zoe]

My final advice. Call more than one real estate lawyer.,

 

[Mark K]

If the house was left to you in the will and there are no other heirs, all you have to do is apply for a traditional mortgage and the title company can help you with a survivorship affidavit to transfer the property to you. At least that's how it works in this state.

If she did any advance planning and transferred the house to you prior to death, all you need to do is get a new mortgage and payoff the RM, assuming the other assets are less than $100K (Illinois limit). If above that amount, an attorney will have to open probate. Time consuming, expensive, and PITA but required if you mom didn't transfer assets prior to death.

Lesson to everyone...plan ahead.

 

[Zoe]

If she died and didn't have you in will, it will probably cost you around 10% of estate to get it transferred in your name.

It is way easier if she had you in will.

If you have siblings or others, it may not be that hard if her descendants agree with you.

Look at it this way. Liens on real property are very unique. When a person dies, they should want a will. It seems your mother had equity in her home.

With a will and leaving house to you, you have equity and other options without going through probate court for your equity.

 

[Zoe]

Definition of EQUITY

fairness or justice in the way people are treated; often, specifically : freedom from disparities in the way people of different races, genders, etc. are treated; something that is equitable… See the full definition

www.merriam-webster.com

 

[Zoe]

Many times others that your mother knew would want part of equity. Maybe not.

You taking care of her is very noble.

I promise you if I was last person on earth, I would take care of My MOM.

I have very rich sister. It is a different ballgame. My sister knows better than try and screw me.