A question that comes up when older adults are researching a Home Equity Conversion Mortgage (HECM) is, ‘What are the fees associated with the loan?’  And, maybe more important is what are the upfront fees versus what you pay over the life of the loan. A benefit with HECMs is that their up-front costs can be financed into the loan, keeping in mind interest will accrue on these fees over time if...

Americans are experiencing soaring prices for food, gas, and utilities, and for those on a fixed income, it can be a struggle to make ends meet.  For the first time since February of 19821, the annual inflation rate is at a crippling 8.2% as of September 20222. Older adult homeowners who are living on fixed incomes and struggling to make ends meet, may not realize their home equity may be able to...

According to a recent study, the majority of pre-retirees and retirees reported having “modest” retirement savings, with the average amount reported as $128,000. The lifetime income a retiree will receive from this saved amount, even when combined with Social Security benefits, will be much less than their pre-retirement income. As a result, most pre-retirees won’t have enough retirement income...

A reverse mortgage can be a strategic financial tool that many older adult homeowners use as part of their retirement planning to help supplement their income during economic downturns and inflation. Reverse mortgages aren’t always the answer for everyone.  Consider these reverse mortgage alternatives before you move forward with a reverse mortgage loan. Home Equity Line of Credit (HELOC) A HELOC...

When planning for retirement, many older adults have utilized a reverse mortgage loan to help supplement their overall retirement plan.  It is also recommended to have a plan in place when the homeowner permanently leaves the home.  This may involve their heirs or adult children who need to know what happens and what needs to be done when the last borrower leaves the home. If you or a family...