The writer is a reverse mortgage broker in Canada. He specializes in reverse mortgages to help seniors life their life in dignity. Reverse mortgages can greatly assist the elderly in living their lives to the fullest.
You can never owe more than your home’s value. The home does not have to be sold to payoff the loan. The consumer (or the heirs) can pay off the reverse mortgage and keep the home. The proceeds from reverse mortgages are tax-free and do not affect Social Security or Medicare benefits. However, the funds received from a reverse mortgage may affect eligibility for certain kinds of government assistance, such as Medicaid or Supplemental Social Security Income, unless the payments are structured so that what you receive is spent in the month it is received.
Borrowers can use the funds for any purpose: home modification to help age in place, supplemental income, health care, retirement of existing mortgages and debt, drug prescriptions, and travel. Reverse mortgage motives have begun to range from absolute need to unexpected pleasure.
Mom, you don’t have to pay up until you move out. Kids, if Mom dies, you’ll have to pay what’s owed. But guess what. . . ? Some of that outstanding debt is going to be offset by the home’s appreciation. Have you checked what the family home is worth now compared to seven years ago? Even if Mom throws her mortgage in reverse and slams the accelerator to the floor, you still will probably end up with a tidy sum.
This blog will explain how the new reverse mortgage-while still expensive-can provide a critical revenue stream for millions of elderly homeowners, offer a key financial strategy to the enormous group of Baby Boomers marching toward the traditional retirement years, and supply a viable solution to the coming health care crisis in the United States.
A vancouver mortgage broker can fine tune the mortgage product for you. An expert mortgage broker is essential to understand your Vancouver mortgage options.