[WSBARP] Reverse mortgages and probate

[Suzanne Lieberman]

Good morning,

I just want to be sure I understand a client's options with a reverse
mortgage on a home once they go through probate for decedent.

Client had been living in his mom's house in WA the last 15 years,
maintaining the house, paying taxes, etc.,with his siblings' knowledge and
consent to this (and understanding the house would pass to him - have
agreed to waivers; there is no will). Mom passed away in Georgia 3 weeks
ago.

Once the property is transferred into his name through probate, he will
have to decide whether he wants to repay the loan through refinancing or
other money available to him, or try to refinance and sell the home, or
refinance and purchase the home, right? Will the lender work with him if he
is refinancing into a loan of his, which should give him up to 6 months to
close the loan, or up to 12 months if he wants to sell?

Would the only other recourse be doing a deed-in-lieu of foreclosure? No
deficiency judgments in WA? I only know about DILs from working on
timeshare matters/foreclosures.

Thanks for any help.

Suzanne Lieberman
CMS Law Firm LLC <http://cmslawfirm.com/>
*811 Kirkland Ave. Suite 201 *(please note new address!)
Kirkland, WA 98033
206.383.6484 (Cell Phone)
206.659.1512 (Main Office)


Legal stuff I have to put in... *To ensure compliance with Treasury
Department and IRS regulations, we inform you that, unless expressly
indicated otherwise, any federal tax advice contained in this communication
(including any attachments) is not intended or written by CMS Law Firm LLC
to be used, and cannot be used by the taxpayer, for the purpose of: (i)
avoiding penalties that may be imposed on the taxpayer under the Internal
Revenue Code; or (ii) promoting, marketing, or recommending to another
party any transaction or matter addressed herein (or any attachments).*
-------------- next part --------------
An HTML attachment was scrubbed...
URL: <http://mailman.fsr.com/pipermail/wsbarp/attachments/20200630/1055dfa2/attachment.html>