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Discussions tagged with 'Paying Balance of Deceased Parents Reverse Mortgage'
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I recently came across your information while researching lenders who have experience helping borrowers with more complicated financial circumstances. I have spoken with three different mortgage companies and, candidly, I was beginning to lose hope that there might be a path forward for me. Then I found your company and spent some time reading the reviews and experiences of your clients, which encouraged me to reach out.
For the past four years, much of my life has centered around caring for my parents. My mother passed away in November 2023, and my father passed away in January of this year. Their home has a reverse mortgage with an approximate payoff balance of $252,000, while the home itself is valued at approximately $475,000.
I hope to obtain financing to purchase the home and keep it in our family. This is much more than a financial transaction to me. After losing both of my parents and spending the last several years caring for them, preserving the home they worked so hard for would mean a great deal to me. At the same time, I fully understand that I must be able to qualify for financing and demonstrate my ability to repay the loan.
The primary obstacle I have encountered is my Chapter 13 bankruptcy. I received my discharge in July 2025, and I have been told that because I am currently only a little more than one year beyond the discharge date, I do not qualify for a traditional mortgage.
My concern is that the discharge date by itself does not tell the complete story of my financial circumstances. There are significant and well-documented extenuating circumstances surrounding the events of the past several years—many of which occurred while I was caring for my parents and were outside of my control.
One significant example was a major flood in my parents’ home in July 2024 while I was caring for my father. The damage displaced both of us, and we were unable to return to the home for approximately a year and a half. Substantial delays involving the insurance claim and the release of insurance proceeds significantly prolonged the reconstruction process. In an effort to move the repairs forward and make the home habitable again, I personally paid substantial reconstruction expenses, including both materials and labor. At the same time, I was responsible for expenses associated with temporary rental accommodations while the home remained uninhabitable.
These circumstances resulted in extraordinary expenses that would not otherwise have existed. They were not the result of irresponsible financial management or an ongoing inability to meet my financial obligations. Rather, they arose from an unusual and extremely difficult series of circumstances involving caring for both of my parents, the loss of my mother, a major property loss, prolonged displacement from the home, substantial insurance and reconstruction delays, and ultimately the loss of my father as well.
Although the past several years have been extraordinarily difficult personally and financially, I have worked very hard to remain financially responsible throughout them. I also have extensive documentation available to substantiate the circumstances described above and the expenses associated with them.
For these reasons, I would be extremely grateful for the opportunity to speak directly with you or someone on your team who has experience reviewing complex mortgage files and determining whether manual underwriting, exception-based underwriting, Non-QM financing, or another appropriate lending program may provide a viable path forward.
I am not asking for lending requirements to be overlooked or disregarded. I am simply hoping for the opportunity to have my complete financial profile reviewed—including my documented extenuating circumstances, income and employment history, Chapter 13 payment and discharge history, current financial position, and overall ability to repay—before it is determined that the date of my bankruptcy discharge alone prevents me from qualifying.
I am prepared to provide whatever documentation may be helpful, including records supporting the circumstances described above, my income and employment history, Chapter 13 payment and discharge documentation, information regarding the reverse mortgage and property value, and any other information necessary for a thorough evaluation.
I realize my situation is not a typical mortgage file, which is precisely why I am reaching out. I am simply trying to determine whether there is a responsible and realistic way for me to keep my parents’ home rather than lose something they spent much of their lives working to preserve.
Thank you very much for taking the time to read my message and consider my circumstances. I would sincerely appreciate the opportunity to speak with you.
Warm regards,
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replied 2 weeks, 6 days ago
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