I have a lady interested in a reverse mortgage. She stated that she is quite behind on her property taxes. She hasn’t paid in a few years due to falling behind and never having been able to catch up. She believes she’s roughly $10-12K behind. HOI is up to date. I don’t want to waste her time or mine if we are not able to help her due to FA guidelines, is this something we can do with a LESA? Can we pay her delinquent property taxes at closing? Her home is free and clear of a mortgage.
If the borrower has had good credit overall and does not show a lack of desire to pay her bills then I think this one would qualify with a LESA. She can and will have to pay all delinquent taxes at close.