Kevin's Corner

Aging in Place I

Do you want to continue to live at home as you grow older? Do want to achieve the state of “Aging in Place”? Can you do this financially?

If you have modest retirement income, few financial assets and still own your home, you can join the growing numbers of Americans over 62 that are beginning to tap the built up equity in their home to meet the rising cost of health and long-term care expenses. In the United States, there is estimated to be over $2.5 trillion in home equity wealth which, can become a valuable resource to assist Americans meet their obligations of property taxes, debt repayment, health insurance and other daily expenses. In some cases, reversing years of deteriorating life-style conditions.

Choosing to tap home equity is a big decision as home equity could the largest financial resource available. What are the options: 1) the home could be sold thereby converting the equity in the home to cash for expenses but the homeowner would have to move, find another home and incur the expenses of relocation; 2) stay in the home and use some form of home loan to convert a portion of the equity of the home into cash but still live in the home.

In either case, it is essential in this day and age to include home equity in the overall financial strategy to finance the expense of getting old. Social Security and retirement savings just may not be enough to live the retirement lifestyle you expected. Your cash flow just is not enough to meet the every day expenses of life, fluctuating health care needs as well as the unexpected expenses such as home or automobile repair.

If you expect to live in your current home for as long as you can, you should consider a reverse mortgage. We are a leader in this field, our dedicated reverse mortgage office in Belmar is set up to educate you on all of the possibilities a reverse mortgage can bring to you. The field of reverse mortgages is has been changing constantly, so if you have information over a year old, you are not up to date with current product offerings. Since reverse mortgages have become so popular, there have been additions and improvements in the slate of reverse mortgage products.

The FHA programs now have different interest rates and closing costs and there are now private industry programs with lower interest rates and higher home equity releases. If you are not working with a specialist in this field, you are missing out on the complete story. In fact, most of the information I read on the internet is either obsolete or just not accurate. As one of New Jersey’s leading originators of reverse mortgages, my experience is what distinguishes me from lenders who got into the business in the last six months.

When I first started in the reverse mortgage business, there were sixteen companies offering reverse mortgages that were based in New Jersey. Now there are over sixty. But when you review the loan production, only ten firms originated more than ten loans in 2006. That means there are a lot of amateurs out there. Before you select a reverse mortgage lender, make sure you’re dealing with an experienced firm. The industry is changing very rapidly, so experience counts. Not everybody has access to all the new products. I represent four of the leading reverse mortgage investors and I can get the best program that meets your needs. If you want low fees, I can help. If you want low interest rates and high cash out amounts, I can help. Trust me, experience counts.

If you have been thinking about these programs and you are under the impression that everybody offers the same thing, you are misinformed. Companies like Kastle Mortgage that have established themselves as leading reverse mortgage lenders have advantages other firms don’t that got into the business yesterday. Getting a reverse mortgage is a big decision, call me today and find out why so many Shore residents turn to me for their reverse mortgage needs. Put my experience to work for you!! Call me today and find out why. 1-800-496-4035.