The London Interbank Offered Rate (LIBOR) – which serves as the reference basis for an estimated $200 trillion worth of financial transactions globally – is on the verge of being retired, and there are several aspects of the impending sunset date that consumers should be aware of. This is according to James R. Schenck, the […]
For Americans who find themselves in unique financial situations requiring forms of financing that may serve as alternatives to more traditional, forward mortgage loans, numerous financial products exist that can potentially serve customers in such situations more efficiently than traditional financing. One of these alternative methods is a jumbo reverse mortgage, according to Melissa Cohn, […]
Potential borrowers of reverse mortgages, whether they are Home Equity Conversion Mortgages (HECMs) or a proprietary, non-government product, should be aware of key features before engaging in a loan. These include borrower obligations related to taxes and homeowners insurance, as well as the ways in which reverse mortgage products have undergone significant changes in recent […]
If the family members of a reverse mortgage borrower are on the cusp of losing their loved one, then there are certain steps that they should consider taking before the loan becomes due and payable when the borrower leaves the home. This is according to Michael Branson, president at All Reverse Mortgage in Orange, Calif., […]
Taking Social Security benefits as early as possible, at age 62, is not very beneficial for an American retiree concerned with maximizing their post-working income. This is according to Steve Vernon, FSA and consulting research scholar in the financial security division at Stanford University’s Center on Longevity in a new piece at Forbes. “There are […]
The future of the proprietary reverse mortgage market could be coming a lot sooner than some people think, since it’s entirely possible that the recent propagation of new, private alternatives to the federal government’s long-standing Home Equity Conversion Mortgage (HECM) program could be eclipsed by private alternatives as soon as this year. This is according […]
Personal referrals from financial advisors, friends or family, speaking with more than one lender and knowing what red flags to look out for can all be key elements to help a potential borrower find a quality reverse mortgage lender to help them plan out their financial future in retirement. This is according to Dr. Wade […]
Following up on a previous article detailing some possible reverse mortgage risks, there are four additional risks that a potential borrower should be aware of before entering into a reverse mortgage transaction. This is according to Dr. Wade Pfau, professor of retirement income at the American College of Financial Services, in a piece at Forbes. […]
The Financial Industry Regulatory Authority (FINRA) describes its stance on reverse mortgages in a report titled, “Reverse Mortgages: Avoiding a Reversal of Fortune.” While that title has negative connotations, it doesn’t explain that the contents of the report have evolved over the past several years, even if its title may not have. This is according […]
Some of the biggest risks inherent in a reverse mortgage transaction include the complexities of the Home Equity Conversion Mortgage (HECM) Program allowing for instances of misunderstanding, problems that can arise when someone is unable to pay, and inaccurate perceptions concerning what the loan repayment structure looks like. This is according to Dr. Wade Pfau, […]
