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#12 Reverse Mortgage Helps Keep Retirement Assets Intact

REVERSE MORTGAGE CAN MAKE SNOWBIRDING A REALITY

David Garrison
Home Equity Retirement Specialist
NMLS # 1595194
Serving the State of Indiana
p (317) 644-2595 c (765) 516-0130
e [email protected]

2169 East Rutland Lane, Martinsville, IN 46151
Corporate NMLS #1025894

In this, your fifth year of “semi-retirement” following 40+ year careers in the private education system, the two of you have decided to spend all winter months in sunny…to be decided (probably the Florida Panhandle where several friends live). Because most of the younger members of your extended family are located here in Hoosierland, you plan to continue using your Indiana house as home base (hopefully for the rest of your lives).

This winter, as has been true for the past several years, you’ll be staying in a rented condo, but going forward, you realize it makes more sense to own a modest winter residence. To help finance the purchase, you could increase the part-time consulting work that helps augment your retirement income, since that work can be done from anywhere. Still, an outright property purchase would force you to dig into your retirement assets, something you are reluctant to do.

A reverse mortgage might help speed your path towards acquiring a second home in that sunny TBD place. A reverse mortgage refinance can help homeowners purchase new homes using the equity in their “home base” property. Assuming you’ve built sufficient equity in your Indiana home to finance the purchase of the winter home, there might be no need dig into your retirement assets; no mortgage payments would be mandated.

You would, of course, continue to be responsible for property taxes, homeowners insurance, and home maintenance costs on your Indiana residence. Meanwhile, your consulting income could go towards financing the maintenance costs and taxes on the second property. Important to realize is that, under a reverse mortgage, you will need to occupy your Indiana property more than six months out of each year.

To be determined…will a reverse mortgage help you make “snow-birding”your new retirement reality?

https://mutualreverse.com/david-garrison/