Reverse Mortgages Are Getting Popular
That’s right! I believe the reason is because it is very easy to pay off your mortgage but most do not understand compound interest and investing early on in life. Too many people listen to the Suze Orman’s and the Dave Ramsey’s of the world and to be debt free. A homeless person is debt free but has no wealth. A mortgage is a financial tool and when it’s used correctly it can help build your net worth.
We are going to see a lot more people who will need a reverse mortgage especially Baby Boomers. A reverse mortgage is a good option IF you need the money. They are not the cheapest loans out there but they can be a good tool if cash flow is an issue. I have been getting more and more inquiries each day on reverse mortgages and I assume that trend will continue especially down here where I am in the Fort Lauderdale and South Florida area.
A reverse mortgage is based on the age, value, and where the property is located. One great thing about a reverse mortgage is that it is tax-free money and does not affect your tax bracket and won’t affect your Social Security and Medicare benefits but always consult a tax advisor.
Here is some good information on Reverse Mortgages – Click Here