Thinking about down sizing? Think right sizing!

Thinking about downsizing? Think right sizing!

Thinking about downsizing now that the kids are on their own?

Senior citizens right sizing

My father once said to me: “The older you are when you have children, the older you are when they come back.” I didn’t always heed a lot of his advice but in this instance I’m glad I did. Like most baby boomers our age the last of the kids are out on their own and many of us are considering downsizing.

Related: The Truth about The New Reverse Mortgage

The New Reverse Mortgage can help you “right size” too

● A smaller home will allow you  simplify your lifestyle and save hundreds in utility costs alone.

● Live closer to our children and grandchildren without sacrificing too much square footage

● Enjoy the lifestyle of a 55 and older community to truly enjoy your “golden years”

● Provide additional income needed to meet your retirement goals.

Regardless of your retirement plan, The New Reverse Mortgage may be the solution for you.

Why The New Reverse Mortgage?

As a long time homeowner you’re used to budgeting for a mortgage payment each month, along with property taxes and homeowner’s insurance. But getting a mortgage in today’s world has gotten a lot harder and the stricter lending requirements can be a daunting task if retirement is already here or right around the corner.

Imagine the difference not having a mortgage payment will make on the quality of your retirement lifestyle.

Related: The Reverse Mortgage that works

The law requires lenders of “forward” mortgages to scrutinize all your income and asset documentation to determine your “ability to repay” and that can be tough when you’re on a fixed income.

The New reverse mortgage is exempt from these requirements. We do want to make sure you have enough income to continue to pay your taxes and insurance, but there are no debt to income or minimum credit score requirements with The New Reverse Mortgage.

Should I pay cash or use The New Reverse Mortgage to “right size”?

For many of us, owning our homes outright with no mortgage has been priority number one in our retirement planning, so paying cash is the obvious answer. But is it really the best use of the proceeds from the sale of your home?

Related: Using the New Reverse Mortgage to buy your next home

Regardless of what happens in the future to home values by paying cash you are taking a liquid asset (cash proceeds) and investing it in a non-liquid asset (your new home) and in the event you want/need to access that cash you’ll have to create a debt that requires a monthly payment.

Related: Protect your equity with The New Reverse Mortgage

We all remember the housing bubble of 2007 when home values declined by up to 50% in many parts of California. If you owned your home free & clear, that would have been 50% of your money gone. With a reverse mortgage, you would have protected at least 50% of your equity and still been without a house payment.

The New Reverse Mortgage isn’t for everyone…but it could be!

How do I know if The New Reverse Mortgage is right for me?

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.