De-stress Your Life With A Reverse Mortgage
De-stress your life and save your brain cells.
Removing stress from your life is one of the best ways to improve your brain capacity. De-stress your life wherever you can. Today I want to introduce my readers to a new way to de-stress your life: by increasing your income. This will be a welcome thought for those of you who are approaching or who have reached retirement age.
I decided to depart from my usual topics and write this blog because I’m so enthusiastic about this type of reverse mortgage that I’m hoping it will be able to help you as I have been helped. This blog is based on lots of research in the field, plus my own personal experience. (Please see my You.Tube interview with loan broker Edward Fontes of AmeriFirst Financial).
Most Seniors Are Underfunded
Did you know what most seniors reach retirement age with just $20,000 in savings. With the job gone, seniors really struggle to meet everyday expenses, with the cost of medical care increasing and no salary coming in.
The Truth About Reverse Mortgages
Most people have heard of reverse mortgages. However, what they usually hear about reverse mortgages and the true picture are quite different. Most people think that reverse mortgages are a clever way for unscrupulous companies to steal your home. Nothing could be further from the truth, thanks to former President Reagan, who regulated the entire reverse mortgage industry when he was in office. Today’s reverse mortgage is one of the smartest investments you can make. Annuities are another smart investment.
Government-insured HECM Reverse Mortgages
I’m talking here about a government insured HECM Reverse Mortgage.
HUD Counseling
As part of the application for this type of a reverse mortgage, you are interviewed by a representative from HUD and the reverse mortgage process is explained to you down to the minutest detail. The Counselor also stands by to answer all your questions.
How is this Program “safe” for Senior Homeowners?
No matter what happens in the economy, how much money you receive, or how long you live in your home you will never be required to make a mortgage payment. In addition, no matter what happens to your lender or your home’s value you have guaranteed access to your money. Who owns the home if I take a Reverse Mortgage? You own the home. However, you pledge the home as collateral. What happens if, in the future, the Loan exceeds the Value of the Home? Your Reverse Mortgage will continue – thanks to the federal insurance. The line of credit will still be available and monthly disbursements you may have set up, will still be sent to you. How are Reverse Mortgages different today? Today’s reverse mortgages are highly regulated by State and Federal laws to make them safe and to protect you. Among others, the following regulations apply: – You retain title of the home. – No equity share is allowed, meaning the lender does not slowly take over your home. – Fees and costs are federally regulated.
How does a Reverse Mortgage compare to a Conventional Mortgage?
In a conventional forward mortgage, you make monthly payments to the bank eventually paying off the mortgage over time. With a reverse mortgage you receive cash from your lender, as lump sum upfront, as monthly installments or as a line of credit that grows over time. As long as you live in your home you never have to pay off a single dollar of the loan. What restrictions apply to the cash I receive from a Reverse Mortgage? It is your money and you can use it the way you want. It’s non-taxable and does not affect Social Security payments. We do recommend that you talk to a competent financial advisor to determine the effect on any other benefits you may be receiving. When does a Reverse Mortgage become due and what happens then? When you no longer live in your home or when you pass away, the reverse mortgage becomes due.
You May Choose How You Want to Receive the Proceeds
You can decide how you want to receive the proceeds from the Reverse Mortgage:
- Lump Sum Cash at Closing:
- Line of Credit:
- Monthly Cash Proceeds for Life:
- Or a combination of the three
No Mortgage Repayments for the Life of the Loan
You’ll notice that the reverse mortgage becomes due only when you no longer live in your home or when you pass away. In other words, during your lifetime, you will not have to pay mortgage payments! And that’s a beautiful thing!!
Conclusion
I can assure you that, since getting my reverse mortgages (yes, I have gotten three, one after the other), I have de-stressed my life to the point that my brain capacity has increased. Free from the worry about having enough money to survive and pay my bills, I have been able to get the mybraingames.net business going, written all the blogs on it, done all the research, played all the brain games that I recommend, and more.
I hope you have enjoyed this blog on HECM reverse mortgages. This blog is for informational purposes only. Please make sure to check with a Reverse Mortgage Specialist before proceeding.
Please leave us a comment to let us know your own experience with a HECM reverse mortgage, if you have decided to go ahead with it.
Other brain games can be found under the heading “See Our Blogs”, by clicking any of the published blogs on the pages for the following categories:
“Brain Games For Children”
“Brain Games For Adults”
“Brain Games For Seniors”
“Advanced Brain Training”
“Optimal Brain Health”
Great Blog, Monique! Every Senior should be looking at this program to benefit them for their future.
Whether they need help with Medical Bills, Home Improvement, Debt Consolidation and/or line of credit for future issues that can occur with all of these to De-Stress their life. Life is too short to be worrying about these items. If you own a home, you have worked hard all of these years to pay for that home. Now ,you have a program, “Reverse Mortgage”, that will put your equity to work for you!
This program is not for everyone, that’s why it is so important to get together with a Reverse Mortgage Specialist to discuss the advantages and disadvantages of this program to see if it is a fit!”
Thanks for your comment, Ed, and for your help explaining this wonderful program.