According to multiple sources and research shows that there are 10,000 a day reaching retirement age. Our generation is the least prepared financially for retirement. We are more active, living longer, spend more and save less.
We at AdvisorMortgage believe that the Reverse Mortgage is the best option for those of us who own a home and need a financial backstop that a Reverse Mortgage provides.
The traditional mortgage may not economically help us in our senior years.
Home Equity Conversion Mortgage is a non-recourse loan. Only the home equity is responsible to pay off the mortgage--- not you, not your heirs, not your trust, not your estate or not another asset of yours. Once the borrower is no longer living in the property, there is 12 months to make the decision
Payments during borrower's lifetime, while living, are optional. 33% of people over 62 years old are making mortgage payments when they don’t need to be!
A Reverse Mortgage creates liquidity for an otherwise illiquid asset.
What is more valued, equity or cash? Cash is the most important ingredient for retirement.
For a typical person, their home equity can be valued at 30%-50% of our net worth.
Clients must be able to understand the fundamental difference between their homes, the most intimate object of their financial lives, and the equity in their home.
1. Lump Sum Payment
2. Reverse Mortgage Purchase
3. Reverse Mortgage Line of Credit
4. Monthly Payments
5. Combination of Lump Sum payment + Line of Credit + Monthly Payments