Initially, I found the opening paragraphs particularly toxic and quite often the typical response that people have to Reverse loans.
I thought to myself….oh no. Not again. People and many professionals are simply and horribly ignorant about the federal loan program and because of such a negative attitude, it can end up hurting a senior who could benefit from the loan program.
But the overall attitude of professionals and others, is gradually shifting away from these opinions as the writer states in his article.
Here is the remaining portion of the summary plus a link to the entire article.
NY Times: Reverse Mortgage Time is Coming
Posted By Elizabeth Ecker On September 28, 2014 @ 11:30 am In News,Reverse Mortgage
“The article cites several positives that have developed in recent months around the reverse mortgage market: the re-entry of BNY Mellon to the space this year following big bank exits of the past; the personal investments of two well-known economists and academics into one reverse mortgage startup company; and the embrace of a growing group of financial planners who at once would never have recommended reverse mortgages to clients but who today are incorporating them into retirement plans even for those who have saved and invested wisely for retirement.
Recent research conducted at The Ohio State University also bodes well for the loans, he writes, in shedding light on factors leading to defaults and being able to recommend product overlays that maybe able to reduce defaults by as much as 45%.
“Call the loans and the lenders and the executives who run them all the names you want,” Lieber writes. “But the tool they sell is one whose time is coming, and people who refuse even to consider a reverse mortgage in the coming years may do themselves a disservice.”