To stay at home…use your home
When Pam finally contacted us, she was almost at the end of her rope. Her parent’s home wasn’t age friendly and they don’t want to leave it.
“I’m calling for my parents, they insist on staying in their home but they’re both struggling to get around and I’m afraid they’ll get hurt with their current living conditions. We’ve been helping out but it has become a financial burden for us and we can’t continue much longer.”
Can they stay or should they go?
Her parents were adamant about not selling their home, but Pam was concerned it may be the safest thing to do. Her parents didn’t have the resources to make the necessary changes to ensure their current and future needs would be met.
Unless a solution could be found they likely would have to sell their home and try to find one that was less of a danger to them.
Waiting until someone is hurt is not a good strategy
People don’t want to take the time and have renovations done until they are already in a less than ideal situation.
Pam’s parents needed renovations to their home that would make it more “age friendly” so they could maneuver through the home without injuring themselves. They’d been pretty much restricted to the first floor of their home because going up and down the stairs had become a real adventure.
The New Reverse Mortgage to the Rescue
Let me explain
A popular use for reverse mortgages often includes home renovations or upgrades to help the homeowner stay in their home for the long haul. Helping families use their home to stay at home is one of the primary goals of The New Reverse Mortgage program.
Because many won’t qualify for traditional financing under today’s more stringent forward mortgage guidelines, The New Reverse Mortgage is growing in popularity as the retirement solution for many seniors.
Related: Because everyone needs a Plan B
The New Reverse Mortgage can you get the repairs you need
After they all agreed The New Reverse Mortgage was the right solution for them, Pam and her parents met with a contractor who specialized in home improvements for the aging. They decided on grab bars throughout the home, low-pile carpeting to avoid tripping, changing the bathroom shower and entry way to be curbless and have no-slip tile. The stairlift chair now gives them access to their upstairs master bedroom .
Home repairs and renovation rank second (behind paying off debt) when it comes to the uses of a Reverse Mortgage. It gives seniors the flexibility to age at home safely, if that’s their wish
Her parent’s new retirement plan
Before reverse mortgage
|Home Value||Mortgage Balance||Monthly Payment|
Using their home to stay at home
Line of Credit
*Homeowner responsible to maintain property, keep property taxes and homeowner’s insurance current
The net effect with The New Reverse Mortgage
For Pam’s parents their home is now “age friendly”. All the improvements are done and paid for. Because they no longer have a mortgage payment their monthly cash flow improved by $1073. In addition they have $122,640 on their line of credit available to them for as long as they live in their home.
Pam told me she sleeps much better knowing her parents home is not a danger to them any longer and they’re set financially.
The New Reverse Mortgage isn’t for everyone…but it could be!
If you’re still wondering if a Reverse Mortgage is the right solution for you but you’re not ready to sit down with one of our Reverse Mortgage Experts, then we’ll be happy to mail (or email) you Use Your Home to Stay at Home which is the official federally approved consumer booklet for those considering a reverse mortgage.
From the desk of Greg Cook