Just about everyone has concerns about money, income and retirement don’t they? Well, this is particularly true if you are an “older person” such as a senior.
10,000 Americans are turning 62 every day and most of them are financially unprepared for retirement and the costs of aging in the next several years. With “care giving” costs averaging $7,000 a month and increasing, a senior who does not have Long Term Care Insurance will most likely run out of money at some point to pay for caregivers.
And if it’s not the costs of medical expenses or care giving, it will simply be the costs of daily living and paying for normal monthly expenses. Plus, many seniors are carrying a large mortgage and can’t even consider retirement because they have a mortgage payment that needs to be made each month.
Financial advisers are learning about the power of using a Reverse loan as part of the overall retirement plan for their clients, as a method to leverage what the client may have accumulated in savings and investments.
This can very effectively extend the longevity of of their client’s portfolio for many years, which I have mentioned in previous posts.
Following is a summary of an article that was recently published in The Dallas Morning News column.
Reverse Mortgage Line of Credit: A ‘Powerful’ Retirement Tool
Posted ByJason OlivaOn October 26, 2015 @ 5:01 pm In News,Retirement,Reverse Mortgage | 1 Comment
“The line of credit feature on a reverse mortgage has garnered considerable attention lately for its usage as part of a coordinated retirement planning strategy. And for many people, a reverse mortgage line of credit can be ‘the most powerful tool,’ according to a recent The Dallas Morning News column.
A reverse mortgage line of credit can be especially valuable for retirees who own a nice house and don’t have any debts, but aren’t satisfied with their savings as they approach retirement, says syndicated columnist Scott Burns, who is also a principal of the Plano, Texas-based investment firm AssetBuilder, Inc.
“Indeed, if you are looking for a big lever, a reverse mortgage line of credit will be the most powerful tool available for many people,” Burns writes in The Dallas Morning News column.”
I will share the remainder of the article in the next post to this site.