For many seniors retirement is a mixed blessing. On one hand it is time to enjoy family and friends, and enjoy living to the fullest. All too often people find themselves in need of extra income just to keep up with rising costs. A reverse mortgage can help many homeowners who are 62 or older live in their home comfortably by turning the equity in their home into extra cash or income.
Some typical questions regarding a reverse mortgage may be:
What are the benefits of a reverse mortgage?
A reverse mortgage provides easy access to the equity senior homeowners owners have in their home. There is no income or credit qualification and best of all no monthly mortgage payments are required during the life of the loan.
What are the borrower qualifications?
The borrower must be 62 or older and of course, own a home! A reverse mortgage allows a borrower to live in their home for as long as they use the home as a primary residence.
How much money can a borrower receive?
The amount a senior homeowner is eligible for depends on their age, the value of the home, current interest rates and the specific reverse mortgage product selected. Generally speaking, the older a borrower is, the greater the benefit (i.e. more money!) available.
How can the money be used?
Fund home repairs, pay off an existing mortgage, pay for medical expenses, purchase long-term care insurance, and establish a resource to help grandchildren and loved ones, go on vacation! The money can be used any way the borrower wishes!
Does the bank own my home?
No, this is a very common misconception; a reverse mortgage is merely a loan on the property that can be repaid at anytime with no prepayment penalty.
Will my children be against the idea?
No, experience has shown that many adult children see a reverse mortgage as a good decision for their parents. It provides the senior with independence and allows them to age in the home they love and raised their family.
For more straight answers to your questions, send me an email at tscabareti@aol.com.
Friday, June 20, 2008
Wednesday, June 18, 2008
The Seniors Are Coming......
Many people ask me why haven't reverse mortgages grown more in acceptance. Even though there has been significant growth over the past few years, research shows that slightly over 1% of the available senior market has taken advantage of this product. The senior population continues to grow everyday as thousands of boomers turn 62 in 2008. Reverse mortgages are not a solution for all senior homeowners, but one would expect a deeper penetration of the potential market, particularly with our slowed economy bringing more financial demands on fixed income living.
I believe that awareness of reverse mortgages and their benefit to senior homeowners continues to be a major factor in their acceptance. No major lender has committed to a public awareness campaign to actively educate both seniors and their adult children. The industry association, NRMLA, has dedicated efforts to educate seniors and their advisors, but the burden should not solely fall on their shoulders. As a society we owe it to our seniors, to our parents and grandparents to offer free education and information to assist them in this decision process.
So I am asking you get the word out, tell everyone you know that this product exists. Send them to the Internet to learn more. The NRMLA site is an excellent no sales site that provides excellent consumer eduction.
Also talk to your Representatives, both on the State and Federal level. With an impending Social Security crisis, our legislators should be on the bandwagon delivering education and information on a possible solution for senior homeowners. Seniors are some of their biggest voting constituents so they should be both informed and concerned about this issue of awareness. Your efforts and their support will go a very long way in raising awareness.
I apologize for the rant, but we must build awareness to be able to deliver solutions to our senior population.
PS. Here is the NRMLA site http://www.reversemortgage.org
I believe that awareness of reverse mortgages and their benefit to senior homeowners continues to be a major factor in their acceptance. No major lender has committed to a public awareness campaign to actively educate both seniors and their adult children. The industry association, NRMLA, has dedicated efforts to educate seniors and their advisors, but the burden should not solely fall on their shoulders. As a society we owe it to our seniors, to our parents and grandparents to offer free education and information to assist them in this decision process.
So I am asking you get the word out, tell everyone you know that this product exists. Send them to the Internet to learn more. The NRMLA site is an excellent no sales site that provides excellent consumer eduction.
Also talk to your Representatives, both on the State and Federal level. With an impending Social Security crisis, our legislators should be on the bandwagon delivering education and information on a possible solution for senior homeowners. Seniors are some of their biggest voting constituents so they should be both informed and concerned about this issue of awareness. Your efforts and their support will go a very long way in raising awareness.
I apologize for the rant, but we must build awareness to be able to deliver solutions to our senior population.
PS. Here is the NRMLA site http://www.reversemortgage.org
Monday, June 16, 2008
Straight Answers
Reverse Mortgages are a great decision for many senior homeowners but is it the right decision for you. This blog is all about straight answers to the questions you and your advisors will have about reverse mortgages. Education is the best straight answer when it comes to deciding if this is right for you. So we will try to answer all of your questions and help guide you through the decision process. You should do your homework, get all of your questions answered and when you are ready make the decision.
As an experienced reverse mortgage professional, I will post information, industry news and answers to questions to help you. My personal goal is to build awareness and understanding for this dynamic senior product that has literally changed the lives of hundreds of thousands of people just like you. I will also address the challenges of being a caregiver and how a reverse mortgage can provide solutions for adult children who are caring for their parents.
Most of all you will receive straight answers, no selling allowed, just the facts. Have a great day.
As an experienced reverse mortgage professional, I will post information, industry news and answers to questions to help you. My personal goal is to build awareness and understanding for this dynamic senior product that has literally changed the lives of hundreds of thousands of people just like you. I will also address the challenges of being a caregiver and how a reverse mortgage can provide solutions for adult children who are caring for their parents.
Most of all you will receive straight answers, no selling allowed, just the facts. Have a great day.
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