9 Ways to Pay for Retirement

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I rarely participate in these comments, but I really have to share my story with 1 company which has tremendously helped me. I just turned 74, many obstacles have come in the way of my retirement including a divorce a few years ago which really hurt me financially, to be honest I had this feeling that my savings and SS income were not going to be enough. Months and months of research and dealing with big banks - nothing but a big headache and they wanted to charge an arm and leg - I was considering a standard home equity loan but then I started reading about reverse mortgages. Long story short, i found this company while searching online - reverse mortgage lenders direct - they were able to automatically compare lenders for me and quote me a fantastic quote. I am not saying you need to do a reverse mortgage (for me this has been excellent and recommendable) but if you do here is their number 877 700 0534 - you can find the site online search for reverse mortgage lenders direct.

smithtony184 of NY 6:42AM May 30, 2012

I have gone through your various articles on retirement and wished African Employers (or Governments) could emulate your retirement plans and implimentations to better our aged retirees here in Africa.

Robert Tinga of TX 3:47AM August 19, 2011

I seldom see anyone rant about reverse mortgages excepting the kids who thought they were going to get a house free and clear when granny kicked off.
The down side of a reverse mortgage is simple - if you are financially destitute then just sell the house because you do have to pay the property taxes, continuing paying for homeowner's insurance, and maintain the home and property in a condition similar to to the condition the home was in when you obtained the mortgage. That's the fine print. If you can't do these things after receiving a reverse mortgage - you were going to lose the property anyway.
On the other hand, if you have 50% or so in home equity, and you need a lump sum to pay off some bills or cover a large medical expense, and getting rid of the monthly mortgage payment means you can afford to eat out once in a while, or buy a nice roast instead of cheap burger... then for you, the non-recourse reverse mortgage (Home Equity Conversion Mortgage) (meaning the property is the ONLY asset the mortgage holder can touch) may make your retirement a LOT more comfortable, while enabling you to live out the rest of your life in your home. When the last borrower dies or no longer resides in the home (at least part time) then the property is sold, the mortgage gets paid off, whatever remains goes to the estate.
Pretty good deal if the other option is to give up a home you have lived in a long time, that carries a lot of memories, that you raised a family in - and go live in a small apartment because you can't handle the mortgage, taxes, insurance, and cost of living on your reduced retirement income.
Getting rid of that $600 or $800 a month mortgage payment... that can mean a WORLD of difference in the quality of life for a senious citizen. Can mean they can eat AND buy their medicine, not have to choose between the two.
Most HUD counselors take their responsibility rather seriously - not many FHA approved HECM loans are made where it wasn't in the best interests of the homeowner. As I mentioned - the kids looking to inherit might now like it - but they need to get over it. Maybe if they were willing and able to chip in a little help with the monthly cost of living for Mom and Dad, their parents wouldn't NEED a reverse mortgage.

David Beatty of CA 5:57PM April 22, 2011

Oooo.. I'm feeling psychic! Let me guess.. Sandy forgot to read the fine print.

Suze's Tube of KY 12:44AM April 17, 2011

Reverse Mortgages and Red Flag belong together. It is critical that every senior understand (and figure out) the consequences for their personal situation, financial circumstances, health, short and long term need. The elderly borrower is prevented from making an informed choice because they don't understand the consequences of a reverse mortgage that can irrepairably harm them. Many seniors have lost their property, equity, quality of life and are left homeless at the time in their life when they can least recover from a mistake of this magnitude. These seniors are not stupid but duped by a slick presentation that only lists all the possible benefits most of which do no apply to the borrowers unique circumstances. No one tells the senior it is their responsibility to understand the consequences on their own. The lender and the manditory HUD counselor will never see the borrower after the sale and have no knowledge or responsibility of the consequences to the senior.

Sandy Jolley of CA 11:08PM April 04, 2011