“The age of reverse mortgages is here,” writes a Dallas Morning News column by syndicated columnist Scott Burns, who is also founding partner of investment advisory Asset Builder. Crediting the Saver Home Equity Conversion Mortgage with the sea change, Burns addresses this “small” change as opening a “floodgate” of interest.
The Dallas Morning News columnist writes:
“Used for long-term planning rather than emergencies, reverse mortgages are likely to become a major tool for the millions of Americans who have a lot more equity in their homes than in their retirement savings.”
The costs, Burns says, are not a major consideration in a comparison between the Saver and Standard upfront fees on a $250,000 home.
“What is happening is that reverse mortgages are becoming a financial planning tool rather than an emergency loan service,” he says.
The article continues to compare reverse mortgage options with other retirement planning tools.
Read the original article.
Written by Elizabeth Ecker