Reverse mortgage
July 23, 2020
I’m Miriam Neff-with STARTING OVER FINANCIALLY,-and I’m Valerie Neff Hogan, and we’re here to talk about money
M Those reverse mortgage adds aimed at vintage folks look appealing. Spend the equity in your home and live in it enjoying that nest.
V Its time to crunch the numbers. Remember this means you no longer hold the title, the lender does. When you exit this planet, that home belongs to the lender not your heirs. How long will they guarantee you a monthly check? Their goal is profit, which means there are fees and their estimate is that they will pay you less than the home is worth.
M My recommendation is don’t do it. Unless an absolute necessity for your living, and you don’t qualify for a home equity loan, there are better options.