As I was reflecting on the hope that this season brings I got to thinking about the reasons the reverse mortgage gives hope to seniors. Here are some of the reasons for hope with a reverse mortgage. Yes, the list is long but seniors have a long list of wants and needs for hope. With a reverse mortgage one will be able to:
• Stay in one’s home where they may have raised their family, are familiar with the neighborhood and their neighbors and where they usually want to remain.
• Pay off a current mortgage to eliminate the monthly principal and interest of mortgage payments. Have payment flexibility; choose if, when and how much you pay, lowering the loan balance and creating a line of credit which grows allowing more funds for in the future.
• Protect other investments/Hedge against longevity risk.
• Have funds for emergencies and/or long-term care.
• Have improved cash flow with no monthly mortgage payments. (Still have to pay property taxes and hazard insurance, flood and HOA dues if applicable.)
• Protect some of their other retirement funds or investments where there might be taxes or penalties on withdrawals.
• Purchase a new home to downsize and/or move closer to family
• Have funds for making home improvements or home modifications.
• Retire and not feeling like you have to work just to have money to pay the bills.
• Have cash flow to be able to pay taxes.
• Have funds to pay for home health care.
• Have funds for some assistance with home care or companion services.
• Have funds for adult day services.
• Have funds for medical expenses and prescriptions.
• Afford going to the dentist.
• Afford new eye glasses.
• Have funds for the needed hearing aid.
• Have funds to cover long term care expenses.
• Cover everyday living expenses.
• Not rely on credit cards.
• Not rely on children.
• Payoff spouse in a divorce.
• Use in probate for an heir to purchase home and pay off other heirs.
• Have funds for the little extras in life, like:
○ getting one’s hair done,
○ having cable TV,
○ buying groceries,
○ going to lunch with friends,
○ treating their children to dinner,
○ going to community plays or the theater or a concert,
○ taking the grandchildren to the zoo or a movie,
○ Depends (I had a client say with their reverse mortgage they could now afford to buy Depends),
○ being able to do hobbies.
• Purchase a more dependable car.
• Afford transportation if one can no longer drive.
• Afford the travel for the family wedding or reunion.
• Take the vacation they have dreamed of all their life.
• Have funds for emergencies.
• Reduce financial stress.
• Save one’s home when faced with foreclosure or tax forfeiture.
• Have funds to full fill needs and goals.
• To live with security, independence, dignity and control.
I have helped seniors where a reverse mortgage has fulfilled all of these reasons and more, providing hope for their future. A reverse mortgage has given hope to thousands of Minnesota seniors so they can remain in their home with security, independence, dignity and control even during trying times. If you know a senior who is looking for hope for one or more of the above reasons, a reverse mortgage may be their answer.
Would you like to explore a reverse mortgage for your situation? Contact us if you are in Minnesota. As your local broker, we work with several lenders and provide free information and facts with no obligation, meeting in person whenever possible.
For other states, contact your local reverse mortgage specialist who is a broker, one who works with several lenders, has their Broker License/NMLS and preferably holds the Certified Reverse Mortgage Professional (CRMP) designation.
© 2019 Beth Paterson, CRMP, Beth’s Reverse Mortgage Blog, 651-762-9648
This material may be re-posted provided it is re-posted in its entirety without modifications and includes the contact information, copyright information and the following link: https://wp.me/p4EUZQ-2CC
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Blog posts’ information is current as of date post published, program is subject to change in in the future. Contact us for current information, 651-762-9648.
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