Reverse Mortgages

Today we're going to talk about reverse mortgages.

Reverse mortgages are something that has such a misconception today. I hear it all the time and they are such a wonderful product for the right person, so I wanted to go over a couple of reasons why a reverse mortgage might benefit you.

Number one, if you are a senior and you still have a mortgage, a reverse mortgage can be literally life changing for you. We've had experiences with clients in the past that are in their 70s or 80s and still have a mortgage with their bank, and they are struggling to survive. They're living off of their government pension. They have a mortgage payment and other bills throughout the month. They can barely buy groceries. A reverse mortgage allows them to pay off their mortgage, pay off any debt that they have, and in some cases give them a lump sum of cash or access to cash in the future that they can use to live live off of. This takes somebody who is struggling to survive every month, can barely buy groceries to having cash flow every month and options, and being able to really thrive in their retirement. It is such a beautiful product for these people, and I love helping clients that are in this situation to see what's possible for them.

The second, and not as commonly understood way that a reverse mortgage can help people is parents who want to help their children with the dream of homeownership. We know how hard it is to qualify for mortgages these days, and I know that parents want to help, and many people are actually sitting on properties with no mortgages or small mortgages and have a lot of equity that's just sitting there doing nothing for them. A reverse mortgage allows these parents to be able to withdraw cash from their property to help their children purchase a home, and it doesn't cost them anything per month. These parents might have money in investments, but withdrawing money from an investment comes with penalties, fees, potentially tax to the government, and a loss of that interest that you would have earned on that money. A reverse mortgage is tax free cash that you can access to support your family.

There are so much there's so much more that we can discuss.

So please reach out to our team if you have questions. We really want to help you. Have a beautiful day.