How a Reverse Mortgage could have helped my Mom
Did you know:
- The average check from Social Security in 2017 was $1360 a month.
- 48% of retired couples and 71% of single retirees depend on Social Security as their primary source of income.
This means that the majority of retired households in America live on a fixed income of less than $2600 a month.
These figures concern me and I’ve seen firsthand how someone in this situation lives. My mother who passed away in 2016 fits this scenario perfectly. As a single woman, my mother worked the majority of her adult life while raising eight children of which I am the youngest. When she retired in her mid-60?s her income of $30,000 a year left her struggling from month to month for the rest of her life.
People often ask me if I would do a Reverse Mortgage for my own parents and my answer is always a resounding YES! These are the specific reasons why I would have done a Reverse Mortgage for my mom:
Freedom from Payments
Mortgage payments for my mom’s average 3 bed 2 bath home accounted for $14,400 a year. Eliminating these payments would free almost half of her total income.
Investment for the Future
The Growth Line of Credit of the Reverse would give the option to put all or part of her $14,000 savings aside to grow at 4%-6% annually, providing a safe and secure nest egg to use further down the road.
Peace of Mind
- For her: My mom’s 8 kids and 39 grandkids were her life. Having more money to travel and visit us would have brought tremendous amounts of joy to her and us.
- For us: Most parents hate the thought of being a burden on their children but when health goes bad and finances get tight the kids are usually the best option to help. With a Reverse Mortgage, my siblings and I would know that she was financially sound in a house that suited her needs until she could no longer live alone.
For my mom, a Reverse Mortgage would have been life-changing. You may not be in the same situation as she was but the features of a Reverse Mortgage may be life-changing for you as well.
The most common benefits of a Reverse Mortgage are:
- No monthly mortgage payments*
- Supplemental income
- Ability to consolidate debts
- Liquid Assets that grow at 4%-6% annually
- Spending cash to live life today
- Help to pay expensive medical bills
*Homeowner continues to pay basic property expenses such as taxes, insurance, HOA, etc.
The New Reverse Mortgage can be customized to fit nearly every financial situation. Whether you’re a widow struggling from month to month, a millionaire investor looking to grow your portfolio, or somewhere in between a Reverse mortgage is an option you should learn about to make your retirement years more financially secure.
If you’d like to learn more about a Reverse Mortgage call us today for customized options that best fit your goals.
President – Reverse Mortgage Specialist
Heritage Reverse Mortgage
Heritage NMLS #1497455 Trevor?s NMLS #: 267962
1060 South Main Street Bldg. A Suite 101B
St George Utah 84770