Reverse Mortgages Give Reasons For Hope

Reverse Mortgage Gives Reason for Hope

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 one-level home to meet changing health needs

• 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.

Reverse Mortgage pays for home care or companion 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.

HECM Reverse Mortgage Provides funds for extras in life

• 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 to travel for family wedding or reunion with a reverse mortgage

• 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

Related Articles:

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.

This site or the information provided is not from, or approved by, HUD, FHA, or any US Government or Agency.

Need Home Modifications To Age In Place? A Reverse Mortgage May Help





Seniors want to Age in PlaceMost seniors want to stay in their homes and remain independent yet often believe they can’t for a number of reasons.  Making some home modifications could make their wish of remaining in their home a reality by providing a safer more comfortable environment.

More than one third of those age 65 and older suffer injuries from a fall each year according to research from the National Center for Injury Control and Prevention.  AARP research suggests the leading cause of injury and deaths among seniors is falls.  Modifying one’s home can help to eliminate common hazards and help to improve the quality of living in one’s home.  Improving the safety of one’s home can help one have more comfort, convenience, and  remain independent and active in their community.  Some people have mobility limitations from causes other than falls and still want to stay in their home.  This too can be accomplished with some home modifications.Home modifications can help seniors remain in home

Bathing, toileting, cooking, and climbing stairs can be made easier to perform by adapting one’s home.  Modifying one’s home can be as simple as installing grab bars in the bathrooms, removing throw rugs, moving electrical cords from hazardous locations, touch buttons for turning lights on and off to installing entrances to accommodate wheel chairs and lifts to access another level.

By assessing and modifying one’s home, one can live more safely, comfortably and remain independent.  But how can one afford this?  A reverse mortgage may be the solution beyond what Medicare or insurance will pay for.

A reverse mortgage is a special loan to allow seniors to remain in their home with security, independence, dignity, and control by converting the equity into cash.  Similar to a conventional loan where a lien is placed on the home yet the borrower retains ownership.  The reverse mortgage is different from a conventional loan with no income or credit scores required and no monthly mortgage payment requirements.

The reverse mortgage loan amount is based on the age of the borrower, their home value and an Expected Interest Rate.  Due and payable when the home is no longer the primary residence, usually when they move, die or sell, a reverse mortgage can allow one to remain in their home and use the equity now.  As a non-recourse loan there is no personal liability to the borrower or their estate as long as they are not retaining ownership.  If the home is sold for more than the loan balance then the borrower(s) or their heirs keep the difference.Reverse Mortgage Helped Bob Modify His Home

Bob, a Minnesota senior who had lost his wife wanted to stay in his home.  He did the reverse mortgage and with a portion of his proceeds he modified his home to be prepared for the future such as having the doorways wider to accommodate a wheel chair and grab bars installed.  He’s thrilled that he was able to have his home modified and will be able to remain there for years to come.

© 2010 Beth Paterson, 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:  http://wp.me/p4EUZQ-ob

Related articles:

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.

This site or the information provided is not from, or approved by, HUD, FHA, or any US Government or Agency.