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</o:shapelayout></xml><![endif]--></head><body lang=EN-US link=blue vlink=purple><div class=WordSection1><p class=MsoNormal><o:p> </o:p></p><p class=MsoNormal><span style='font-size:12.0pt'>Colleagues:<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:12.0pt'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:12.0pt'>I have a client who is caring for her extremely ill husband in their home. He will probably pass away or need to move to a facility in the very near future. Before they were married, he took out a reverse mortgage on the home they are living in. The language in the mortgage contract is pretty clear that when he dies or leaves the home, it must be sold. Because they were not married at the time the reverse mortgage was obtained, she is a “non-eligible” spouse.<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:12.0pt'><o:p> </o:p></span></p><p class=MsoNormal><span style='font-size:12.0pt'>Maybe some of you real property wizards can weigh in on Garn St. Germain’s applicability in this situation?<o:p></o:p></span></p><p class=MsoNormal><span style='font-size:12.0pt;color:black'><o:p> </o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'>The Federal Housing Authority bulletin on this issue makes specific mention of the <b>“</b>Non-Borrowing Spouse of the Deceased HECM Borrower:”<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><b><span style='font-size:12.0pt;color:black'><o:p> </o:p></span></b></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:#222222'>“If you are the non-borrowing spouse of the decedent, special provisions are available that may postpone repayment </span><span style='font-size:12.0pt;color:black'>of the HECM loan, allowing you to remain in the property during your<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'>lifetime. You must, however, provide your lender with a Non-Borrowing Spouse Certification within 30 days of the last surviving borrower’s death, among other requirements.”<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'><o:p> </o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'>Before contacting the lender and asking how to obtain such a “certification,” I thought I’d inquire whether anyone has dealt with this before. I read the HUD Non-Borrowing Spouse Certification form, and I am not able to make it apply to the facts I have.<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'><o:p> </o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'>Any of you familiar with this scenario able to pull this rabbit out of the hat?<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'><o:p> </o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'>Thanks in advance,<o:p></o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'><o:p> </o:p></span></p><p class=MsoNormal style='text-autospace:none'><span style='font-size:12.0pt;color:black'>Jim Dolan</span><span style='font-size:12.0pt'><o:p></o:p></span></p></div></body></html>