Can a reverse mortgage be obtained using a Conservatorship or Power of Attorney?
A. Yes, on both accounts. With the Conservatorship there would need to be a court order giving the conservator the ability to encumber the property with a reverse mortgage. Verbiage would include either “reverse mortgage” and/or “adjustable rate, negative amortized loan”. Additionally, the court order must not include an interest rate or loan amount. This is how most court orders are written wrong because the attorney or judge, who does not understand reverse mortgages, tries to insert the interest rate or loan amount, and both are not acceptable because of the variable nature of the loan.
