A Fox Business article published last week focused on the shift toward younger reverse mortgage borrowers found in a MetLife Mature Market Institute Study published in late March.
“While reverse mortgages are available to homeowners as young as age 62, they have traditionally been used by much older individuals….” Fox Business Writes. “This is despite the fact younger borrowers have lower available loan limits.”
The article includes several considerations cited in the report that should be made by borrowers, including ramifications of transferring debt from a conventional mortgage into a reverse mortgage, costs associated with fixed rate versus variable rate mortgages, legal, financial and tax considerations, loan repayment, overall health status and whether it may prevent borrowers from remaining at home.
“Consumer attitudes about reverse mortgages are changing because the recession has eroded confidence about retirement security and Americans will rely more and more on these measures,” Sandra Timmermann, Ed.D., is quoted as director of the MetLife Mature Market Institute.
Read the full article.
Written by Elizabeth Ecker