I talked to my client about a HECM. She says the current mortgage is in a Revocable Living Trust. Her two daughters are her two beneficiaries at 50% each. You had said: All beneficiaries of the trust must be eligible borrowers at the time of origination and until the mortgage is released (i.e. borrower/beneficiary must occupy the property as a principal residence). Does this mean that the two daughters must occupy the property as a principal residence along with their mother for them to keep the title in the Revocable Living Trust?
They can be contingent beneficiaries but cannot be the primary.