CONTENT PAID FOR BY SILVER LEAF MORTGAGE
Are you a homeowner 62 or older?
Have you ever found yourself having to choose between buying food or medicine?
Do you want to live in your home for as long as you choose?
How about having to put off a medical or dental procedure due to lack of funds?
If you answered “YES” to any of the above questions a reverse mortgage could be a perfect solution for you.
All homeowners 62 and older want nothing more than to head into retirement with financial security. However, once you retire, banks and other financial institutions may no longer be willing to lend or refinance your home due to your steady income no longer being present. So, where does that leave a person to turn for help?
For those planning to stay in their home, working through a qualified reverse mortgage broker is key. Their job is NOT to sell you on the product. Their job is to educate and inform you with the necessary information you need in order for you to make an informed decision.
KEY BENEFITS OF A REVERSE MORTGAGE
1. As one of the initial uses of a reverse mortgage, a borrower’s original mortgage, if one exists, will be paid off in-full, therefore eliminating their monthly mortgage payment and freeing up cash. Clearly a major benefit for a retiree that will be living on a fixed income. Note: The homeowner is still responsible for applicable property taxes and homeowner’s insurance, as well as maintaining the property.
2. Proceeds from a Home Equity Conversion Mortgage HECM can be used fund expenses and stave off drawing on Social Security or other retirement fund accounts. This maximizes the benefits one gets from Social Security, as the later you draw it, the more money you can access.
3. Borrowers can establish a growing reverse mortgage line of credit to use when needed. The idea is to use the credit line as a safety net in the event funds are needed when stock portfolios or other assets are down. This way, borrowers can allow their assets to rebound, using the reverse mortgage loan proceeds instead to cover unexpected cash shortfalls. This strategy is often touted by retirement planning professionals.
4. A reverse mortgage is government-insured.
5. Proceeds are tax-free and can be used any way you choose.
6. You will always own your home, not the bank.
7. It does not need to be paid back until the last person leaves the home.
8. It is a “non-recourse” loan. This means the debt cannot exceed the market value of the property.
9. Your heirs can keep the house and settle/refinance the loan, or sell the house to settle the loan and keep the remaining money. If the house isn’t worth enough to cover the loan no debt will pass to them.
Before you take your next step into your retirement, you should speak with a reverse mortgage expert and your financial planner. To learn more about a reverse mortgage and the various ways it can put you on the path to more financial freedom in your retirement contact Silver Leaf Mortgage, your trusted local partner and Colorado’s #1 Reverse Mortgage Broker.
RELATED: 3 benefits of a reverse mortgage
Silver Leaf Mortgage is based in Centennial, CO. They are Colorado’s #1 reverse mortgage broker and a proud sponsor of Senior Source.
THIS ARTICLE INVOLVES COMMERCIAL CONTENT. THE PRODUCTS AND SERVICES FEATURED APPEAR AS PAID ADVERTISING. FOR MORE INFORMATION, EMAIL US.
COLORADO & COMPANY IS A PART OF 9NEWS AND FEATURES COLORADO EVENTS, COMPANIES, BUSINESS PEOPLE AND OTHER OTHER GUESTS FROM AROUND THE COUNTRY.
SUGGESTED VIDEOS: LIVE LOCAL, businesses open for business