If you’re thinking about taking out a HECM Reverse Mortgage with AAG (or with someone else; shop around and talk to a financial advisor or planner first) - be very, very careful (if you have an older house), it is risky - YOU CAN LOSE IT IF YOU DO NOT MAKE PAYMENTS. It may be good for some, but for me, it was a big mistake to consider it. Example:
First they required me to sign a stack of legal documents about one-half inch thick (I’m not exaggerating) late at night just before the cafe was to close with a notary public without reading over the documents which would have taken a few hours and the copy of documents I received, for some reason didn’t exactly look like the ones I signed when I got home (I may be wrong on this there were so many); these documents were based on the value of my home from what a Zillow price was. A value AAG does not accept.
They do not tell you the fees associated with it upfront; you have to apply for the loan first. Fees are very high.
Second, I had to have a talk with a consultant for $125 as to what a HECM is, which was a waste of time and money because if one goes to https://www.newretirement.com/retirement/reverse-mortgage-interest-rates/ it explains it very nicely and in more detail.
Third, I had to have a HUD inspector come to the house for $450 to evaluate the house and bring it up to HUD’s standards at my expense. Either she was incompetent or HUD’s evaluation procedure needs fixing. The price she placed on my home was way below the value of the house by half or more by comparing it to "similar" homes within five miles that had been recently sold; this would work if the house was in a track home complex where every house looked the same but not all different types of houses as in my area that "may" or "may not" be similar based on square footage, acreage, and whatever else.
Fourth, AAG’s fees are too high. Initiation fee and all the other fees (thousands of dollars) they stack on using a higher interest rate than the national mortgage rate, plus, if a Line of Credit is used, they can jack up the interest rate over the life of the loan; it’s not a fixed rate, so when it comes time to sell, one doesn’t know what the actual cost of the loan is.
Fifth, having to deal with someone over the telephone or email whose a thousand miles away.
Sixth, if one takes too long to accept all their paperwork, understand it, and terms, they (seems like) will pressure you to accept or have the application canceled.
Seventh, not deciding if I want to take the loan or not, AAG switched my homeowner's insurance to them, did not pay the bill, and I got a notice my house insurance was being canceled - they made a huge blundering mistake!
Eight, I sent them emails with questions only to get some questions answered, some partly or incomplete, and some not at all.
Ninth, I started on the premise I wanted a HECM (and still do), but after all of the above, I decided it wasn’t worth it. Hope you have better luck - let the BUYER BEWARE!
Bottom Line: No, I would not recommend this to a friend