You may have heard of reverse mortgages, or even Home Equity Sharing Agreements, where homeowners with a lot of equity in their house can get access to some of the money, while still living in their homes.
But too often, scammers or predatory lenders can entrap a homeowner into an agreement that leaves them on the hook for hidden fees and costs, drains their equity or has other unintended consequences.
The Idaho Department of Finance has been getting complaints about these Alternative Mortgage Products and Erin Van Engelen, the Consumer Finance Bureau Chief, joined Idaho Matters to break it all down.
The Idaho Department of Finance suggests checking out these resources before considering an Alternative Mortgage Product:
- HUD Housing Counselors – www.hud.gov/states/idaho
- Idaho Department of Finance – www.finance.idaho.gov
- Idaho Housing and Finance Association – www.ihfa.org
- Idaho Attorney General – www.ag.idaho.gov
- Idaho Legal Aid- www.idaholegalaid.org
And you can find out more or file a complaint at the Department’s website.
