Category: Reverse Mortgage Basics
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As a HUD-certified housing counselor, I have witnessed the internal tension many senior homeowners face. They sit across a virtual desk during our counseling sessions, with years of diligent savings, a paid-off home (or at least a high level of equity), and one underlying fear: outliving their money. Regardless of their own retirement planning, they’ve…
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When I listen to the 2022 podcast by Suze Orman on reverse mortgages, I am both grateful and disheartened. Grateful, because every time a high-profile personality brings up reverse mortgages, it renews public interest in a program that truly can help many older homeowners. Disheartened, because Suze’s comments continue a long tradition of misunderstanding what…
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You have a homeowning client couple seeking your financial advice. You and the couple think a Home Equity Conversion Mortgage or HECM (the federally-insured reverse mortgage) might be a great option for them. The husband is 65, but his spouse is only 59. You know that the spouse is too young for a reverse mortgage,…
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The Home Equity Conversion Mortgage (HECM) offers a powerful tool for senior financial planning. However, it does come with some complex rules, especially concerning married couples where one spouse is younger than 62 years of age. Professionals such as REALTORS, estate planners, elder law attorneys, and financial advisors who work with senior homeowners need a…
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When a loved one enters their later years, the financial dynamics of the family often shift. Adult children, focused on their own careers and families, begin to worry about their parents’ security. Will Mom or Dad run out of money? What happens if they need care? Persistent misleading noise surrounding reverse mortgages often compounds this…
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Serving as an executor for a loved one’s estate is a big responsibility. When that estate includes a home with a Home Equity Conversion Mortgage (HECM) or reverse mortgage, the process can seem overwhelming. This type of loan can feel a bit unique, but understanding its specific requirements and deadlines, and especially have an executor…
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Imagine interest rates holding steady but higher than homeowners looking to refinance are comfortable with. They feel stuck and out of options. But what if high rates were actually a golden opportunity for senior homeowners? And why should the professionals that serve this population care? Read on to learn not only why high interest rates…
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As a REALTOR, you’ve likely encountered a common scenario: a senior homeowner whose cherished, long time residence has become a source of burden. The home is too large, the upkeep is too demanding, and the stairs are becoming a daily challenge. These clients often feel trapped, hesitant to sell because they fear losing their independence…
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Debunking a Persistent Myth The notion that “your heirs inherit nothing with a reverse mortgage” is a pervasive inheritance myth that clouds the retirement planning of countless seniors. As a HECM and HUD-certified housing counselor, I’ve seen this misconception spark fear and hesitation, preventing retirees from exploring a Home Equity Conversion Mortgage (HECM), a financial…
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“I’m as mad as hell, and I’m not going to take this anymore!” That’s how I feel every time I hear, “A reverse mortgage means signing your home over to the bank.” This myth persists as one of the most persistent and damaging misconceptions about reverse mortgage ownership, keeping countless seniors from exploring a tool…