Forbes: Funding Retirement With a Reverse Mortgage

For the growing number of aging Americans who have no retirement savings, tapping into home equity and taking out a reverse mortgage could be the most effective way to fund retirement, according to a recent Forbes article

This article joins dozens of others that have recently touted the benefits of using a reverse mortgage to solve the retirement planning puzzle. 

From local reports which advise when a reverse mortgage makes sense, to a Q&A with a personal finance columnist who says reverse mortgages are now considered a wealth management tool, media reports are buzzing around the topic. 

In the recent Forbes article, writer Nick Clements notes one of the greatest challenges facing retirees: generating sufficient income for everyday living expenses, particularly in today’s low interest-rate environment. 

That challenge, coupled with Americans’ overall lack of retirement savings, “makes reverse mortgages so appealing to so many people,” Clements writes. 

However, there are some drawbacks to using a reverse mortgage, including costs and ongoing fees, which should be fully researched before taking out the loan. Clements also suggests homeowners consider selling their home and downsizing to free up some cash. 

“Here’s the bottom line: Years of hard work created your home equity and you should make the most of that money during your retirement,” he writes.

To read the full Forbes article, click here

Written by Emily Study

Leave a Reply

Your email address will not be published. Required fields are marked *

Most Popular Articles

Latest Articles

Ginger Wilcox on helping agents navigate a chaotic environment 

When Ginger Wilcox stepped into the role of brand president of Better Homes and Gardens Real Estate last June, many in the industry knew that the next 12 months would be challenging for the industry. But no one anticipated just how tumultuous things would get. HousingWire recently caught up with Wilcox to hear how her […]

3d rendering of a row of luxury townhouses along a street

Log In

Forgot Password?

Don't have an account? Please