2169 East Rutland Lane, Martinsville, IN 46151
Corporate NMLS #1025894
After reading an article about the advantages of a reverse mortgage, the two of you are ready to learn more. It seems that using the equity you’ve built could make it possible for you to live out your lives in the home you’ve owned and lovingly cared for during the past three and a half decades. You both feel staying put holds more appeal than moving to a retirement community, but you know some remodeling will need to be done to accommodate your needs as you age.
The two of you have always tried to be organized rather than impulsive when making important decisions, carefully mapping out the steps needed to turn your goals into reality. You know it’s important to consider the long term effects of big financial moves. As you explore reverse mortgage options, you’re wondering which advisors to consult.
Your four adult children have all proven to be fiscally responsible, each making choices that make sense for them and their mates, keep you in the loop, but never asking for your help. In turn, the two of you have not consulted your offspring when making either spending or investment decisions. You’re wondering if a reverse mortgage might be an exception to that practice.
Advisors to consult might include a) Tax advisor – while selling investments or taking retirement plan withdrawals to fund the remodel on your home could generate capital gains tax or even ordinary income, draws on a reverse mortgage are nontaxable. b) Estate planning attorney – your decision to take a reverse mortgage might generate a need to adjust beneficiary designations on other assets or on the home itself. c) Family physician – is your medical prognosis consistent with your desire to “age in place”?
Upon the death of a reverse mortgage borrower (in your case when the second of the two of you dies), the loan becomes due and payable. Your heirs have the right to buy the home,sell it, or turn it over to the lender to satisfy the debt. If you were planning on leaving the home to all of – or any of – your children, it would make sense to talk to them now about the options they will have.
Who needs to talk the housing wealth talk? Whoever can help you make the decision that’s best for you!
https://mutualreverse.com/david-garrison