Real Estate Solutions for Land-rich, Cash-poor Seniors
Daily Local News
As seniors look to stretch their assets in retirement, they might consider the equity in their homes. Unfortunately for many, that value may have reduced along with the economy.
However, when there is enough equity in the house, it is worth taking a second look to incorporate real estate strategies into the overall plan. These should not involve going deeper into debt. Mortgage payments into your 80s and 90s are a concern. Also, you do not want to deplete, without reason, the equity in your house
Reverse Mortgage. The immediate thought that comes to mind is a reverse mortgage. With a reverse mortgage, you do not make payments, can continue to remain in your home, and the lender does not recover until after you move out or die. You do pay your real estate taxes and homeowners insurance.
Payments can be made to you either in a lump sum or monthly, or you can have a line of credit to use as needed.
When I wrote about reverse mortgages before I referred to them as the “last cookie jar.” They are unavailable before age 62 and the value is greater when you are 80 or 85. So this is not ordinarily a tool to use to get out of credit card debt when you are 65. You should also not think of this as a way to get rid of a sizable conventional mortgage.
If you would like information about a reverse mortgage in The Villages, Florida, contact our team of Specialists atIReverse. We are dedicated to answering all of your questions and providing the knowlege you need to make decisions for your future. Call 800-486-8786 ext 813.