Would you like to travel more? Are you living life to the fullest during retirement? If not, what's holding you back? If it's your finances, you might want to learn about how you can use a reverse mortgage to tap into a portion of the equity in your home without creating a mortgage payment. You can use that money for anything…even traveling the world. In this episode, you'll see how a reverse mortgage works and how easy it is to qualify. Being house rich but cash poor is no way to spend your retirement. It's time to get out and live!

Need cash for a large home project?  There might be a better option than a HELOC (home equity line of credit).  If you are 62 or older a Reverse Mortgage could be your best solution for tapping into your homes equity for a couple of reasons.  Listen to learn more!  

www.reversemortgagegroup.org  Call us with any questions.  805-738-8326

Many more financial planners are seeing the benefits of incorporating a “buffer asset” into a retirement strategy.  This buffer asset is simply another bucket of money to draw from throughout retirement.  Taking draws periodically and strategically from this secondary asset can help add longevity and security to a senior’s retirement plan.  In this episode, we talk about using a reverse mortgage to create this buffer asset.  A reverse mortgage allows you to access and leverage a portion of your home’s equity without creating a mortgage payment.  Financial planners have discovered that by drawing from your home’s equity instead of your retirement assets during a down year in the economy, gives the portfolio time to rebound and recover – greatly preserving the value and increasing the longevity of the portfolio.

www.reversemortgagegroup.org  Call us with any questions.  805-738-8326

For additional information on this topic, see our video ‘Reduce Risk and Add Longevity to Your Retirement Portfolio’ here: https://youtu.be/aAU6ekExASE

Can you use the equity in your home to pay off debt? 
Yes you can!  If you are 62 years old or older the best option by far is a reverse mortgage. 
A reverse mortgage is a way to access a portion of the equity in your home without creating a mortgage payment. 
The qualifications of a reverse mortgage are easy.  All you need is: 
Be at least 62 or older
Live in your home
Have equity in your home

Can I use the equity in my house to pay for in-home care?  
Yes you can! 
A reverse mortgage us a way to access a portion if the equity in your home without creating a mortgage payment. 
The qualifications of a reverse mortgage are easy.  All you need is: 
Be at least 62 years old or older
Live in your home
Have equity in your home

With a Reverse Mortgage loan, in no event does the repayment amount exceed the value of the home, as long as the property is sold to satisfy the reverse mortgage balance. This is the ‘non-recourse’ feature that protects the homeowner should the housing market ever crash. If the heirs decide to keep the home, then the pay-off amount is simply the balance of the loan. All remaining equity in the house always belongs to the borrower and their heirs.

With a Reverse Mortgage, there is no penalty for canceling the loan. After the borrower signs their final loan documents, they have up to three days to cancel the transaction. This so-called ‘Right of Rescission’, allows the borrower(s) to back out of the loan for any reason whatsoever without penalty. This also means that the loan will not fund until the three-day right of recession period is over. With the extent of education and communication we provide, this is extremely rare, but the safeguard is still in place

A Reverse Mortgage is designed to last for the homeowner’s lifetime. In a regular forward loan, a rate is fixed for a particular term, like 15 or 30 years. The rate on a standard HECM (Reverse Mortgage) loan has no term other than the lifetime of the borrower. Because there are NO required payments, other than homeowners insurance and property taxes, the borrower has a lifetime right to occupy the home. Borrowers are protected against unforeseen or unanticipated future circumstances, rendering reverse mortgages a safer loan option.

Are reverse mortgages safe? Yes, they are. We are covering 9 of the most important safeguards that have been put in place by the government to protect seniors who get a reverse mortgage. So far we've covered Independent Counseling and Limitation on Fees. Another safeguard that Reverse Mortgage’s have is something called Advance Disclosure. Under the FHA HECM (reverse mortgage) program, the Total Annual Loan Cost, or TALC disclosure, is required by the Federal Reserve Board. This document displays the total transaction costs over the projected life of the loan. And we provide this document to our prospective borrowers early in the process so that our clients are informed and aware of the costs incurred in obtaining a reverse mortgage. 

There is no prepayment penalty with a reverse mortgage. Reverse mortgage loans are not typically due and payable until the senior permanently moves out of the home. It can, however, be paid off at any point with no additional costs or fees. A borrower can also refinance a reverse mortgage, into another reverse mortgage, or any other type of mortgage loan