Reverse Mortgage buy from bank

[Jeremy Bernard]

My Grandma has a reverse mortgage on her house, she is no longer living in it. I don't fully understand how the reverse mortgages work, my dad at this point is about to turn the keys over to the bank. Is it worth pursuing to try and get at a discount, or because it is basically bank owned it would be just like any other bank owned property?

[Wayne Brooks]

@Jeremy Bernard If there is equity, it's just like any other sale….put it on the market, or buy it yourself, and pay off the balance. If no equity, you Van do a short sale, but the price Must be at least 95% of a current FHA appraisal. If you don't want to do the short sale, just let the bank foreclose….no consequences to your grandmother or future heirs.