Case Study: Better Quality of Life

A Reverse Mortgage is a powerful tool to unlock illiquid home equity into cash. The underlying asset (the home) is still yours, just like a regular forward mortgage, and you can use the funds however you like.

Most people start retirement strong: they have some funds saved, expenses are relatively low at first and frankly most think they don’t need help or a reverse mortgage.

With time, however, expenses increase.

Whether it’s simple inflation over time, or rising medical costs it all adds up. If you plan to remain in your home as long as possible, you may choose to consider upgrades to the such as stair-elevator systems or additional bath handles. Having these installed before they’re needed instead of waiting until an injury occurs may be prudent.

People are living longer but costs are rising faster.

Some clients feel guilty initially about a reverse mortgage, but we believe it’s time for your home to pay you back, for all the years you’ve paid into it. Your heirs (or charity of choice) will still receive the home when the time comes, it will just have a low easy-to-pay-off mortgage that comes due when you sell, move, or pass away. Should one of your heirs choose to keep the house, they simply refinance the property into a new conventional mortgage to pay off the old reverse mortgage.

This means by unlocking the equity in your home, you can maintain the standard of living you need, update or upgrade the home, take that dream vacation with your family, or use the funds however and for whatever you like.

We’d like to help you! Why not request a quote, and we’ll give you some risk-free options to consider? Just fill out the form on the right and we’ll get right back to you. There’s no pressure – just a friendly chat and options to think about.

Note: We’re lending professionals, not tax experts. For full details about your exact situation, please seek the advice of a licensed tax professional.

 

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