The old way of thinking about retirement was to sell your home, downsize to a cheaper home, and keep a little of the equity from the sale of your family home to live off of for the rest of your life. That was when the family home was huge and downsizing was common sense because you didn’t need all the extra bedrooms.
Now more and more people are retiring from a condo or townhome in the city to a larger home in the country, at the beach, or in a sun filled state like Arizona. Baby boomers want a large home to stretch out in, a home with a great back yard, a huge patio and maybe even a pool. They love houses on golf courses, on lakes with a boat, or in a community of people who have the same interests.
Here is the loophole. Instead of having to sell your home and add money to buy this dream retirement home, or even worse getting a new mortgage to pay for the home, Baby boomers, or anyone at or over 62 years of age can simply get into the home with a reverse mortgage. The reverse mortgage allows them to put in just a fraction of the amount of the home, live in it for the rest of their life with no mortgage payments, and retain title to the home.
Example: A Baby boomer who just turned 62 years old can sell their condo for $130,000 and move into a $260,000 home without having to add a cent. For every year older than 62 that you are, the percentage of the value of the home that you have to pay to buy that home gets smaller and smaller.
Its a great time to retire.
Bob
bob@az62.com
888-277-4990
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