September 29th, 2021 1:12 PM by Anne James
Covid has forced many a 55 year-old and over into early retirement with only one source of income-social security. Worse, businesses lost that would've been sold at a profit mean extended work years or back to work for over 65 'seniors.' FINRA, the financial industry regulatory authority, has added reverse mortgages to home equity for income. You can receive a lump sum at closing and make no payment on a mortgage once it's closed except for taxes, insurance and HOA payments.
With the cost of living adjusted, some cash to help with home maintenance and a remaining line of credit for those with a lot of equity, life becomes much more comfortable. Your current mortgage and/or home equity loan is paid off through the reverse mortgage.
While COVID has caused job losses, business closures and delayed plans for many, home equity has risen the most in history in one year. While values may not continue to rise and, may indeed drop for all we know, you will never owe more than what your home is worth.
Call for a consultation if you are even curious about how the reverse mortgage can help your income. Do not confuse it with newer 'equity share' loans that have targeted homeowners everywhere. Reverse Mortgages are FHA guaranteed loans now started under Ronld Reagan in 1987.