HOUSING WEALTH CAN HELP WATERPROOF A HOME
Although your own beautiful, long-time home seems to have come through unscathed, all the stories about White River flooding, with so many Indiana homes being damaged, have made the two of you uneasy, to say the least. Retired now almost a decade, you have both been very pleased with your decision to age in place rather than relocate to a retirement community. Having kept the house, itself and grounds in excellent repair, you felt “secure”. Now, truth be told, you’re worried that future weather disasters could cause greater risks to your well-being, not to mention greater financial burdens, than you’re prepared to handle.
Reading online about ways to help protect your property, you’ve decided to purchase a generator and hire workmen to install it on your upper floor. Even further, you’ve begun inquiries about sealing the basement walls and even replacing the flooring. Since the driveway slopes downward towards the garage, you are looking into a flood barrier of some kind. After reading one story about a sewer backing up into a home, you are considering have a check valve installed. Finally, years ago, your insurance agent advised that you were not in a flood zone, you’re looking into flood insurance coverage.
You’ve always maintained a financial emergency fund, but these new costs, you’re realizing, are on a whole different level, and will dictate some changes to your carefully planned systematic withdrawals from your joint account and even retirement funds. Therefore, while you have taken pride in being debt free for decades, you feel it is urgent to borrow enough cash to finance these various weather protections for your home.
An alternate way to tap into your own housing wealth in order to weatherproof your home might prove a little less “unsettling” – rather than applying for a mortgage, apply for a reverse mortgage. With a HECM line of credit, not only are there never any required monthly mortgage payments,* you’ll have enormous flexibility in terms of the timing of any tax-free** withdrawals you make as you pay for each of the improvements. Meanwhile, the unused portion of your equity will be credited with growth at the same rate as that being charge on any borrowed amounts.
Your housing wealth can help you feel more comfortable in your home, while keeping unwanted water flow – out!
https://mutualreverse.com/david-garrison
*Borrower must occupy home as primary residence and remain current on property taxes, homeowner’s insurance, the costs of home maintenance, and any HOA fees.
**Please consult a tax advisor.
David Garrison, NMLS ID 1595194. Mutual of Omaha Mortgage, Inc. dba Mutual of Omaha Reverse Mortgage, NMLS ID 1025894. 3131 Camino Del Rio N 1100, San Diego, CA 92108. Indiana-DFI Mortgage Lending License 43321. Michigan 1st Mortgage Broker/Lender/Servicer Registrant FR0022702. These materials are not from HUD or FHA and the document was not approved by HUD, FHA or any Government Agency. Subject to credit approval. For licensing information, go to: www.nmlsconsumeraccess.org
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