How Can A Reverse Mortgage Help?

Article Submitted by Barry Scoles, Vice President, 1st Reverse Mortgage USA®. He can be reached at 303-854-3035 or Toll Free 877-217-0166.

Each year sets a new record for the number of seniors who discover that reverse mortgages are a safe and secure financial tool to assist them in remaining in their homes, financially independent, and with the peace of mind knowing they have the resources to pay for health care, home repairs, or simply enjoy life a little more.

Despite the rapid increase in the program's acceptance, many seniors remain unaware of reverse mortgages, or have been misinformed and are therefore fearful of the process and the terms of the transaction. Compounding the problem is a similar lack of understanding among the family members and financial professionals with whom seniors rely on for advice. Many well-meaning lenders, family members and financial advisors may offer advice that may fall short of providing a complete and accurate understanding of the facts about reverse mortgages.

For some senior homeowners a reverse mortgage may save their home. Older Americans are piling on debt and filing bankruptcy in record numbers. Many live on little more than Social Security. A sluggish stock market and low interest rates have pinched returns on the CDs, bank accounts and stock investments. With no place else to turn credit card debt for those 65 and older is up 164%, and the number of seniors filling bankruptcy has increased 244% from 1991. Additionally, the number of seniors loosing their homes to foreclosure is frightening. For these reasons, it is important to be on the lookout for seniors who are burdened with serious financial issues.

The best advice is to take your time, get the facts, and be sure you are working with a lender that specializes in reverse mortgages. Taking these steps will put you in the best position to make an informed decision about what is best for you.