Retirement News with Professor Craig

Retirement News with Professor Craig

The Retirement News blog is dedicated to the financial and physical health and well-being of older Americans. 
Whether you're already in or nearing retirement, you will find important, topical information in the blog to help you make informed decisions on your road to retiring more freely.
As a 25-year veteran in the financial services industry and a certified trainer and teacher, Professor Craig's #1 goal is to help you thrive in retirement with financial peace of mind. 

Subscribe Now

     

THIS JUST IN

Considering a Reverse Mortgage? Start the Conversation with Your Heirs
Retirement News, Retirement Planning, Retirement Tips, Reverse Mortgage Facts

Considering a Reverse Mortgage? Start the Conversation with Your Heirs

What matters most to you? How do you want your life to touch others when you’re gone? Inevitably, planning your legacy will also involve making sure the assets you’ve worked so hard for during your lifetime — like your home — will have the impact you envision after you pass away.

For many older homeowners, a reverse mortgage is a savvy financial tool that allows you to leverage the equity in your home, all while you live in it and retain ownership.* But if your heirs aren’t familiar with this type of loan and how it may affect their expectations of a financial legacy, it’s important to start the conversation sooner rather than later.

Setting the record straight

Living on a retirement budget can be very limiting, especially if you’re struggling to make ends meet or forgoing many of the dreams you had about your post-work lifestyle. Your adult children may even feel burdened, caught between trying to assist financially while supporting their own growing family.

A reverse mortgage turns the equity you’ve built over the years into funds you can access as monthly payments, a lump sum or line of credit if and when you need it**. And unlike traditional home loans, reverse mortgages don’t require monthly payments. You can pay as little or as much as you want, when you want, as long as you stay current with your loan obligations including property taxes, maintenance and insurance.

The loan only becomes due and payable when the last borrower, or eligible non-borrowing spouse (where applicable) passes away. At that point, your heirs may still inherit your home, but they will have to pay back the loan balance if they want to keep it; this includes the amount of funds you used, plus accrued interest and fees. They can also sell the home to repay the loan. Once it’s repaid, they retain any remaining equity.

The good news for heirs is that reverse mortgages are "nonrecourse" loans. That means if the loan amount exceeds the home's value, they won’t owe more than the value of the property when the loan is repaid.

The importance of managing expectations

When heirs are familiar with the ins and out of a reverse mortgage, they’ll know what to anticipate when the time comes. And keep in mind, a home is not the only inheritance you may leave behind. Aside from other belongings and investments they may inherit, your legacy is not only about your finances, but also the wisdom, experiences and memories you’re leaving the ones you love.

Whether you’re newly retired or looking ahead, Reverse Mortgage Funding (RMF) can help address your reverse mortgage questions and concerns. Call us today at (888) 277-1567 to set up an appointment with an experienced reverse mortgage specialist at your convenience.

This content is sponsored by RMF, one of the nation’s leading reverse mortgage lenders. We are dedicated to helping older Americans retire more freely, in the comfort of their own homes. As a result of our commitment to providing an extraordinary and positive customer experience, we have earned a 98% customer satisfaction rating; a 4.7-star / Excellent score on Trustpilot; 4.8 out of 5 stars on LendingTree; and an A+ rating with the Better Business Bureau. Call 888-277-1567 to speak with a licensed reverse mortgage specialist to learn about our retirement financing products and solutions.

* As with any mortgage, you must meet your loan obligations, keeping current with property taxes, insurance and keeping your home in good condition.

**Borrowers who elect a fixed rate will receive a single disbursement lump sum payment. Other payment options are available only for adjustable rate mortgages. In certain states, RMF's EE loan provides a fixed-rate term payment option.

Print

Subscribe to Retirement News with Professor Craig

Join our mailing list to get the latest in lifestyle content, financial advice, news and information from Professor Craig to live a better retirement.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

A More Flexible Home Equity Loan

If you’re 62 or older, there is a home equity line of credit option that offers greater financial flexibility than a traditional Home Equity Line of Credit (HELOC). It’s called a Home Equity Conversion Mortgage (HECM) line of credit. 
If you have an existing mortgage or home equity loan you could refinance them with a HECM line of credit and get enhanced benefits, including a flexible payment feature and a line of credit that GROWS when left untouched.
As with any mortgage, you must meet your loan obligations, keeping current with property taxes, insurance, and keeping your home in good condition.


Equity Elite Reverse Mortgage



Put Your Home Equity to Work for You



Get Your Free Reverse Mortgage Quote


By clicking "CALCULATE", you are providing your signature and express "written" consent to be contacted by or behalf of Reverse Mortgage Funding LLC, its affiliates and/or its agents (collectively Company) at the telephone, email or mailing address that you have provided for purposes of fulfilling this inquiry about reverse mortgages and/or the Company's products or services, even if you have previously registered on a "do not call" government registry or requested Company to not send marketing information to you by email and/or direct mail. You agree that the Company may use automatic telephone dialing systems and prerecorded voice messaging in connection with calls or texts made to the telephone number you provide even if the telephone number is assigned to a cellular or mobile telephone service or other service for which the called party is charged and are representing that you are the regular user of provided number. You understand that you are not required to consent to receiving autodialed calls or texts as a condition of any reverse mortgage and/or purchasing any Company products or services. If you do not wish to authorize Company to contact you in this manner, you can call 888-277-1567 to complete your request. You understand that you can revoke this consent at any time.

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.