Reverse Mortgage Pros

  • Eliminate Stress: No one enjoys worrying about money. 90% of reverse mortgages are attained by borrowers 62+ who need more cash flow every month. They eliminate house payments, help pay for the rising costs of medical and prescription needs. Think about your life with guaranteed more money every month and never having to pay another house payment.

  • Increase quality of life: whether you need to fix a few things around the house, have an old car that needs replacing or take a much needed vacation, a reverse mortgage can be the tool to make a positive change in your life.

  • Set up safety net for long term care, unexpected expenses such as home care, dental/medical bills.

  • Maintain financial independence & control: most everyone needs a sense of knowing and having the freedom to choose in their life. This is important if your 7 years old or 70. A reverse mortgage is a financial instrument to create choice.

  • Still leave a legacy for heirs with any residual equity; it’s important for many borrowers that they leave something “for the kids”. A reverse mortgage is most often paid in full and leaves residual equity that stays in the estate.

Reverse Mortgage Cons

  • Typically a reverse mortgage should not be used as a short term loan. The reality of business is that a reverse mortgage is a financial product, a loan. The fees incurred to attain a reverse mortgage are the typical fees incurred to attain a mortgage. Like any mortgage, the longer a reverse mortgage is kept, the longer the time period the fees are spread. The shorter a loan is kept the more expensive it is. If a borrower plans to move from their home, we encourage them to consider not attaining a reverse mortgage unless necessary.

  • Contradict personal financial style and philosophy. Older borrowers today were taught their house is their security, their rock. In many minds, taking a reverse mortgage is just too much of a paradigm shift. We find it is often the children of the borrowers that initiate, support, and encourage older borrowers to increase their quality of life with a reverse mortgage.

  • They can be confusing to some borrowers. A reverse mortgage is a financial transaction that is a new way of thinking. Who ever thought it would make sense to take money out of their house to enhance the quality of your life? It is our goal to help every borrower have a comprehensive understanding of their reverse mortgage transaction. We provide them with the information so that they can make an informed decision.  We are their every step of the way. We are available 7 days a week to answer questions. We are often called in by the family, CPA or financial planner to guide the process.