The writer is a BC mortgage broker located in the Vancouver area.
Today’s seniors are different. They don’t see themselves as old.
They are taking trips and buying Harleys. Some have found themselves in the roles of primary caregivers for their grandchildren. In 2000, 5.8 million grandparents found themselves the caregivers for children under the age the of 18 and that number has grown.
People don’t see themselves as retiring, taking it slow. Sitting on the porch waiting to die has no interest for them.
Some of have raised their own kids and are now raising their children’s kids. There is financial risk in that but the alternative is worst. Incomes will be challenged by this new burden.
One of the biggest challenges is the maintenance of their health under the strains of a second family or maintaining their mobility and zest for life to take trips.
As a health conscious group they plan to live longer, spend for education, spend for trips and want to stay in their own homes.
For most the retirement nest egg will not last long enough. A reverse mortgage can help keep the family together and in financial condition to meet life as it comes.