Caplink is excited and proud to offer its newest mortgage product to meet our clients’ unique needs: The InversaTerm Mortgage.
You’ve probably heard of a reverse mortgage that allows you to borrow against the equity of your home without having to sell your home.
InversaTerm works in a similar way but does not face the same limitations of reverse mortgages in both Canada and the United States.
Are you curious to learn more? Keep reading for more details about Caplink’s InversaTerm and how to apply:
What is an InversaTerm Mortgage?
When you apply and receive a mortgage to buy a home, this is known as a forward mortgage. The lender provides you with the money to make the purchase and you pay back that amount via monthly mortgage payments.
Alternatively, a reverse mortgage does not require that you make any loan payments. Instead, the entire loan balance becomes due and payable when the borrower dies, moves out of the home permanently, or sells the home.
An InversaTerm mortgage works in much the same way as a reverse mortgage as the borrower can receive both a lump-sum amount and/or a quarterly installment paid to them by the lender.
However, reverse mortgages do have limitations. A reverse mortgage has age restrictions as the homeowner must be age 62 or older in the United States and 55 or older in Canada. There are also restrictions related to how much equity the individual has in their primary residence that they can borrow against.
An InversaTerm mortgage, fortunately, has none of these characteristics. It is not age-dependent, property-dependent, or life-dependent!
It is also available to foreign nationals such as Canadians who own property in the United States and other countries.
This means that the real estate being financed does not have to be the borrower’s principal residence. An InversaTerm mortgage is not natural-person dependent, so it can be a person or any form of a legal entity such as a corporation.
The maximum duration of the loan is 10 years.
Who is Eligible for an InversaTerm Mortgage?
If you are a Canadian who owns a home in the following states or countries, you are eligible to apply for Caplink’s InversaTerm Mortgage:
- Arizona
- California
- Colorado
- Florida
- Illinois
- Pennsylvania
- Texas
- Washington
Lending Areas Coming Soon:
- Mexico
- Ireland
- United Kingdom
Whether you own a second residence in another country or vacation property down in the states, an InversaTerm mortgage can give you peace of mind knowing that you can borrow funds against your property no matter where it is located!
How to Apply for an InversaTerm Mortgage
If you are interested in an InversaTerm mortgage, please fill out the following online form to get started:
Application for InversaTerm Mortgage
One of our knowledgeable and helpful mortgage specialists will get in touch to guide you through the application process.