Here are the requirements ...
·
Adult children
purchasing or refinancing (NCO refinance only) a primary residence for elderly
parent(s) who are unable to work or have insufficient income to qualify for a mortgage
(Max LTV subject to MI eligibility requirements)
o
Elderly parents
must be unable to work or not have sufficient income to qualify for a mortgage
on their own. The adult child must provide a letter of explanation outlining
the intent to purchase a home for elderly parents who are financially limited
o
The parent(s) will
occupy the subject property as their primary residence
o
The adult child may
already own his or her own primary residence
o
Assisting an
elderly parent has no distance requirements on where the adult child’s primary
residence is located
o
Property must be
registered, underwritten and priced as a primary residence
o
The subject
property must be submitted to DU as the primary residence and the borrower’s
current primary residence will be listed as other real estate owned
o
The parent(s) and
adult child can both apply for the loan, but the child is the primary source of
qualification. The parent is not required to be on the loan
o
Title must be in
the borrower(s) name, but the elderly parent(s) may also be on the title
