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To the Strong Women That Raised Us: We Appreciate You Always! Happy Mother’s Day from RMA

To the Strong Women That Raised Us: We Appreciate You Always! Happy Mother’s Day from RMA

To the Strong Women That Raised Us: We Appreciate You Always! Happy Mother's Day from RMA

“A mother is she who can take the place of all others, but whose place no one else can take.” – Cardinal Meymillod

Mother’s Day gives us an opportunity to celebrate and salute the strong women that raise us and make us who we are.  Regardless of our unique backgrounds, Mother’s Day is the one holiday where all of us can come together and express our love and gratitude for the various hats that mothers’ wear.

Reverse Mortgage Answers wants to be a part of that celebration! Because our clients are seniors, we treasure the opportunity to suggest activities you can do with your mom or those older ladies who are mom-like in your lives.  Here are some fun ideas:

To the Strong Women That Raised Us: We Appreciate You Always! Happy Mother's Day from RMA

Moms’ Who Like Outdoors Activities:

  • Share a relaxed meal at her favorite restaurant. It does not have to be a fancy place, just somewhere she enjoys.
  • Visit a botanical garden to see some beautiful flowers. You could also bring a picnic lunch!
  • If your mother is excited about a hobby (like art, gardening, music), enjoy that activity with her or join in a class she takes. Alternatively, you can buy her music tickets or gardening tools (based on her hobbies/preferences).
  • Art lovers may enjoy visiting a nearby museum. A good conversation starter is to ask her open-ended questions about the pieces she likes best.

Moms’ Who Like Indoors Activities:

  • Cook her favorite meal or get takeout from her favorite restaurant. Arrange the food on beautiful plates and decorate the table a bit. You could even go all out with candles, flowers, and fancy china!
  • Throw a casual potluck party where everyone brings a dish and spends the afternoon relaxing, chatting, and eating together.
  • Bake cookies or cook a favorite dish together. Depending on your mom’s abilities and interests, she could work side-by-side with you, prep a few simple ingredients, or keep you company and be your taste-tester.
  • Enjoy a sparkling non-alcoholic “cocktail” as a way to fancy-up afternoon snack time. Just add sparkling juice or bubbly water to lemonade, juice, or iced tea and put it in a pretty cup!

Gift Ideas for Mom:

  • Customized gift baskets (Sweet Idea: Her favorite cheese, fruit, crackers, and cider/or wine)
  • Gifts that promote relaxation (Like this one!)
  • Artistic coloring books – If your mom has a creative flair, she will like the thought of a non-childish but fun way to pass the time when she is

 

Happy Mother’s Day, and thanks for taking the time to visit our website.  If you are curious about the Reverse Mortgage and would like to know how this may be able to help your mom as a senior homeowner, feel free to give us a call at 1-800-420-5515, and we will be happy to answer any questions you have about the program.

Learn How the Reverse Mortgage Can Help You Spring Clean in an Entirely Different Way

Learn How the Reverse Mortgage Can Help You Spring Clean in an Entirely Different Way

Learn How the Reverse Mortgage Can Help You Spring Clean in an Entirely Different Way

Spring is officially here, and hopefully, you are beginning to enjoy the warmer temperatures. Many of us take the time to spring clean our homes, closets, and everything under the sun during this time. However, how many of us need to spring clean things in our personal lives, such as our finances?

Without a doubt, recovering from the effects of winter is a chore in itself. We need to throw away old things and start “fresh.” As the flowers begin to bloom, shouldn’t your financial health do the same? Moreover, if you are a retiree who can put a twist on your “spring cleaning” this year by looking to the Reverse Mortgage to clean up your finances, then look no further.

If you are 62 years old or older and own your home, you may be wondering if there are credible, secure options to access more money. The answers are YES! Reverse Mortgage Answers can help you do so by using what you already have: your home.

The Reverse Mortgage is a program that allows senior homeowners to convert some of their home value into tax-free cash. There are many great features of the product available to you, and the loan is fully customizable to meet your needs. The federal government sets the rules that all lenders must follow. We take great pride in our 25 years of experience, which has given us the opportunity to serve thousands of seniors with various backgrounds and circumstances.

If you are like many retirees, who are afraid they may outlive their nest egg, turn to us for guidance. Our expertise and personal attention set us apart from the rest. We will come to your home for consultations, application, and settlement. Let us help you with spring cleaning your finances so you can enjoy the retirement you deserve. Give us a call at 1-800-420-5515.

Did You Know That the Federal Reverse Mortgage Could Solve These Problems for Seniors?

Did You Know That the Federal Reverse Mortgage Could Solve These Problems for Seniors?

There is no doubt that a Reverse Mortgage is not a one-size-fits-all solution. Since every borrower’s needs are different, the Federal Reverse Mortgage serves a different purpose for each borrower. For example, some borrowers use the funds to bridge a specific financial gap; for others, they merely want to get rid of their monthly mortgage payment. Regardless of the borrower’s needs, the Reverse Mortgage can solve many financial issues.

Corporate trainer for Reverse Mortgage Funding, Craig Barnes, agrees that “there should be a strong value perceived among prospective borrowers.” In other words, those who may look to the Reverse Mortgage in the future should be able to recognize the Reverse Mortgage for what it is: a premium product. “If we perceive value in something- a better brand of clothing, a type of car, food or cell phone plan – we are usually willing to pay more for it,” states Barnes. He continues to ask, “But have we ever thought about paying more for a mortgage product where the line-of-credit grows, monthly principal and interest payments are not required, you never have to pay back more than the home value, and it is government insured?” What a valid point!

Furthermore, the Reverse Mortgage is a problem-solving tool that prospective borrowers should be able to view as that “premium product.” Here are just three common financial problems the Reverse Mortgage can solve:

  1. High Mortgage Payments – If you are 62 years old or older with high mortgage payments, the Reverse Mortgage can be what you need to eliminate that monthly obligation. Can you imagine the savings put back into your pocket each month if you subtract your mortgage from your income?

 

  1. Revolving Credit Card Debt – For many seniors, credit card debt is a lingering issue. By allowing borrowers to withdraw cash from their home equity, a Reverse Mortgage can help pay off the credit card debt in full, or it can provide monthly payments to help you pay the debt over time.

 

  1. HELOC Shock – Since many baby boomers took out home equity lines of credits (HELOC) during the pre-recession era around ten years ago, many borrowers will see increased payments in the future. However, the problem is that most seniors, especially those on a fixed income, do not have extra money set aside to pay off their HELOC. If there are funds left over from the Reverse Mortgage, a borrower can use it to pay off the HELOC balance.

If you identify with one or more of the problems above, we strongly encourage you to give us a call at 1-800-420-5515 to discuss how the Reverse Mortgage may be the solution you need. With over 25 years of experience, we have assisted thousands of senior homeowners with their unique circumstances/needs.

Additionally, some of the seniors we helped had multiple issues that the Reverse Mortgage solved all at once. For you, this may be the one-size-fits-all solution to help you enjoy your retirement.

Are You a Retiree? If So, Find out Why This Financial Planner Urges You to Learn About Reverse Mortgages!

Are You a Retiree? If So, Find out Why This Financial Planner Urges You to Learn About Reverse Mortgages!

Reverse Mortgage expert, Jamie Hopkins, recently published his new book on the subject of retirement strategies entitled Retirement: Rewiring the Way You Think about Retirement. Hopkins is a well-acclaimed and knowledgeable financial planner and professor. Therefore, when he speaks about incorporating the Reverse Mortgage into a retirement strategy for a senior homeowner, one can undoubtedly trust his expertise.

Are You a Retiree?

Hopkins introduces the idea of Reverse Mortgages as a “long-term retirement planning solution.”       An Associate Professor of Taxation at the American College of Financial Services in Bryn Mawr, PA, Hopkins is no stranger to advocating for the use of Reverse Mortgages. He states, “if properly used, the Reverse Mortgage can be one of the best features of your retirement income plan.” Since Hopkins is also a financial planner, he can offer sound advice. He has gone to great lengths to write about Reverse Mortgages in publications such as Forbes Magazine.

As Hopkins’ presence continues to emerge at various conferences and events, he observes that “almost unilaterally, across the board, everyone sees that the Reverse Mortgage is being underutilized.” At least three to four years ago, the idea of some groups, like the AARP, being open to Reverse Mortgages would have been non-existent. “You probably wouldn’t have believed it,” he said. “They are all taking it very seriously; the role that Reverse Mortgages are going to play.”

Hopkins boasts the benefits and features of the Reverse Mortgage, but his background as a Financial Planner also gives him the ability to reflect on the detailed explanations of the potential downsides and strikes back at the notion that the product is for those seniors who are down-and-out. He concludes that “this is an underutilized asset and tool for Americans.”

Reverse Mortgage Answers appreciates the knowledge and advocacy for Reverse Mortgages from Jamie Hopkins. We hope that you found this information useful. We take great pride and pleasure in assisting thousands of homeowners with the Reverse Mortgage. To find out how we can help you, call us at 1-800-420-5515 to speak with one of our qualified Reverse Mortgage Specialists.

Did You Know That a Quarter of Seniors Heavily Rely on Social Security in Retirement? Here Is a Solution.

Did You Know That a Quarter of Seniors Heavily Rely on Social Security in Retirement? Here Is a Solution.

Did You Know That a Quarter of Seniors Heavily Rely on Social Security in Retirement? Here Is a Solution.

 

A recent analysis from the Social Security Administration shows that American seniors rely heavily on federal benefits in retirement, often in the absence of any other income source.

About a quarter of U.S. residents aged 65 and older lived in households that drew 90% or more of their income from Social Security alone in 2014, with about 52% relying on the benefits for half of their income.

“A retiree’s sources of money are often described as a three-legged stool: Social Security, pension, and savings,” the Center for Retirement Research at Boston College observed in a blog post about the results. “But many seniors’ financial support looks more like a single pillar: Social Security.”  Unfortunately, Social Security may not be a very sturdy pillar.

Happy senior couple sitting on a bridge in forest

These numbers represented an improvement over 2012 when 56% of seniors derived at least half their incomes from Social Security and 27% relied on it for more than 90%. However, the SSA’s analysis points out that it is not necessarily the result of better financial planning on behalf of the nation’s retirees.

“These seeming decreases likely reflect the better measurement of asset and retirement-account income in the redesigned 2015 [survey], leading to apparent increases in estimated income for 2014 from those sources — although the increases are not substantial enough to affect the reliance on Social Security,” the researchers noted.

The effects were particularly strong for women, single retirees, lower-income seniors, and African-Americans, both the SSA and Boston College noted.

“Disadvantaged retirees typically don’t have pensions or large 401(k)s, and are, not surprisingly, the most dependent on Social Security: Two in three poor and low-income older Americans get 90% of their money from the program,” BC noted.

The good news for homeowners is you can use one of your most substantial assets to help you financially through retirement: your home.  The federal Reverse Mortgage enables homeowners age 62 and older to use the value that has built up in your home.  Best of all, you can stay in your home, and the money you receive is tax-free.

If you would like to find out more about your Reverse Mortgage options, call Reverse Mortgage Answers at 1-800-420-5515.  We look forward to speaking with you.

Hooray! RMA Is Calling All Crafty Seniors for Easter. Let’s Celebrate the Spring Season!

Hooray! RMA Is Calling All Crafty Seniors for Easter. Let’s Celebrate the Spring Season!

We have reached that exciting time of year when the Spring season brings bright flowers, the Easter Bunny, treats, chocolate, and family gatherings.  Reverse Mortgage Answers has a special appreciation for our senior clients. Therefore, this week’s blog is dedicated to activities and crafts for seniors to enjoy this Spring. We hope that you choose to do one or more of these activities to spread the springtime cheer!

1. Decorate eggs.

This is an Easter standard. There isn’t an Easter celebration without decorating Easter Eggs.

2. Make homemade Easter cards.

Everyone loves to get a homemade card from a loved one. A letter is always lovely to receive, and a beautiful picture makes it even more special.

3. Bake Family Favorites

No holiday spent with friends and family occurs without delicious food and desserts. If your family members or friends enjoy a favorite dish prepared by you, a good idea would be to bake that dish. It would be even better to cook family favorites together with your friends, kids or grandkids!

4. Paper Mache Easter Eggs

Paper Mache Easter Eggs

While decorating real eggs is traditional, making eggs out of paper mache gives you more creative ways to play with the concept. You can make a simple version of these crafts to use as decoration, or make an original interactive version that hides a little craft chicken inside.

5. Decorative Easter Carrots

Everyone knows the Easter bunny loves his carrots, so this decorative Easter carrot craft fits the theme of the day beautifully. You can hang them on your doors, give them out as gifts to loved ones, or use them to decorate your home.

6. Get Outdoors for Some Fun!

Although we never know what the weather will be on Easter, if the weather is pleasant, this would be an ideal time to enjoy the first holiday of the Spring season outdoors.  Whether it is taking a light walk or going out to watch children Easter egg hunt, it will be sure to bring a smile to your face.

7. Easter Bunny Pin

We have had eggs and carrots, but so far no bunnies. These Easter bunny pins are a craft you can conveniently wear. They are made of materials that are pretty easy to find and can make great Easter gifts for friends and family members.

Easter is a special day for many across the world, and seniors will appreciate having the opportunity to celebrate. These crafts can add a little extra to the equation and brighten your day even more. Happy Easter!

If you are interested in learning more about the Reverse Mortgage after visiting our site, we would be happy to have one of our Reverse Specialists assist you in learning more about this program.  You can reach us toll-free at 1-800-420-5515.

 

 

Help! Who Is Responsible for Paying Back a Reverse Mortgage?

Help! Who Is Responsible for Paying Back a Reverse Mortgage?

Who Is Responsible for Paying Back a Reverse Mortgage

One of the most frequently asked questions regarding the Reverse Mortgage is “Who pays it back?” To address the issue of who is responsible for paying back a Reverse Mortgage, we must first address when it becomes due.

The timing of when the loan becomes due depends on different situations. These situations determine how the loan is repaid and who is then responsible for paying it back.  To make it easier to understand the answer to each question, we have addressed each topic separately.  Like our company name says, Reverse Mortgage Answers is committed to ensuring our consumers have the right answers about the Reverse Mortgage. Most importantly, we want to make it easy for you to understand it.

When a Reverse Mortgage Comes Due

You are not required to make payments on a Reverse Mortgage until it comes due. However, you are still responsible for paying property taxes, homeowners insurance, and keeping up the maintenance on your home.  As long as you uphold those financial obligations, you can never trigger repayment of the loan unless you sell the home, move out, or unfortunately, pass away. When one of these situations occurs, the loan becomes due and is repaid by either you or your heirs.

If You Sell the Home or Move Out

One of the eligibility requirements for the Reverse Mortgage is that your home must be your primary residence. When your home is no longer your primary residence, which is defined as living in the home for less than six months of the year, your loan becomes due. At this point, you will be responsible for paying it back. Typically, the proceeds from the sale of the home pay back the loan. Any remaining proceeds from the sale are yours or your heirs to keep. Remember, you pay back only what you borrow up to the value of the home, plus any interest that has accrued over time.  The government guarantees that you never owe more than the value of the home.

If You Pass Away

Many people worry that their heirs will be left to pay back the loan if they pass away. Heirs have a few options. If they wish to keep the home, they can refinance into a traditional mortgage. They can purchase the house for 95% of the appraised value or how much you owe on the loan- whichever is less. If they want to sell the house, they can use the proceeds from the sale to pay off the loan. Any remaining money is theirs to keep. They also have the option of signing the deed over to the lender and walking away from the home entirely with no responsibility to sell the house or pay the loan.

A Non-Recourse Loan

Government-insured Reverse Mortgages are non-recourse loans. That means, if the home sells for less than what you owe on the loan, FHA insurance will pay the difference – not you, and not your heirs.

Other Repayment Questions

If you have more questions about repayment, it may be easier to give us a call at 1-800-420-5515. One of our Reverse Mortgage Specialists can answer your individual questions and provide answers based on your situation. The best part is that there is no obligation to move forward. We are more than happy to assist.

The Top 3 Reasons Why You Should Replace Your Existing Mortgage with a Reverse

The Top 3 Reasons Why You Should Replace Your Existing Mortgage with a Reverse

The Top 3 Reasons Why You Should Replace Your Existing Mortgage with a Reverse

If you are wondering if it is smart to replace your existing mortgage with a Reverse Mortgage, the answer is yes!  According to Stephanie Moulton, Associate Professor of Public Policy at Ohio State University, 55% of seniors who get a Reverse Mortgage are doing so to pay off a conventional mortgage.

Reverse Mortgage loans allow a senior homeowner to cash out a portion of their home equity and forgo payments.  The money that is saved from no longer having to pay on a traditional mortgage now opens a whole different world of financial freedom and opportunities!

There are different reasons why a homeowner may want to replace their regular mortgage with a Reverse Mortgage loan. Here are the top three reasons why you should replace your monthly mortgage with the Reverse:

1. It is Positive for Your Portfolio

Jill Gianola, Financial Planner and Author of “The Young Couple’s Guide to Growing Rich Together,” says that “for people who have assets, it is a way of leveraging them.” For example, you can use a large down payment and a Reverse Mortgage to buy a retirement home (also known as the Reverse Mortgage for Purchase). “This is a good deal because other assets are preserved,” Gianola says.

2. It Does Not Tie up Your Cash

When a borrower takes out a Reverse Mortgage loan, it is not the investments that the homeowner wants to protect, but their cash flow itself. The Reverse Mortgage allows you to diversify the assets you already have.

3. Gets Rid of Monthly Mortgage Payments

Going back to the beginning points,  the Reverse Mortgage is a great way to get rid of the burden of having to pay a monthly mortgage. When you are living on a limited income, removing the mortgage payment from the list of one’s expenses has a significant impact.

We hope that these reasons will encourage you to give the Reverse Mortgage a closer look. Many borrowers that work with Reverse Mortgage Answers often claim how our personalized attention and expertise helped their retirement to improve tremendously. Most importantly, we have helped thousands of seniors to get rid of that monthly mortgage and put those funds back into their pockets each month. You can do the same!

If you would like to speak with one of our Reverse Mortgage Specialists, we invite you to give us a call toll-free at 1-800-420-5515. We look forward to working with you.

Ready to Spring Forward? But First, Prep Your Immune System for the Changing Season!

Ready to Spring Forward? But First, Prep Your Immune System for the Changing Season!

The Spring Season is right around the corner, but the weather conditions may not always feel like it! There is no telling when cold conditions will completely subside and warm weather will become consistent. However, the inconsistent temperatures can cause the body to experience a roller coaster of temperatures, which can increase chances of catching a cold.

Even though flu season is nearing its end, there is still a risk.  This is especially true for older adults.  Thankfully, there are plenty of ways to stay healthy and prepare one’s immune system for the transition from winter to spring.

1) Spend time in the Sun – When the weather is beautiful out, spend as much time outside as possible! Research by Oregon State University found that Vitamin D plays a significant role in keeping your defense system strong. Adrian Gombart, Associate Professor of Biochemistry, states, “it is essential that we have both an innate immune response that provides an immediate and front line of defense, but we also have protection against an overreaction by the immune system, which is what you see in sepsis and some autoimmune or degenerative diseases.”

The daily amount of vitamin D you need depends on your age, according to the National Institutes of Health. Adults aged 19 to 70 should get 600 IU per day, while adults 71 and older should get 800 IU per day. Most people can acquire the daily amount through sun exposure, but others may need more. Reach out to your doctor if you are unsure, as he or she can recommend vitamin D-rich foods or supplements.

2) Watch Your Sugar Intake – Refined sugars do not have an excellent reputation when it comes to overall health. Did you know that they can negatively impact the body’s defense structure? Lifestyle Blog, Sun Warrior, claims that sugars increase inflammation and damage cells. They can destroy the immune system.

Avoid refined sugars as much as possible. Are you craving a sweet treat? Read our latest sugar-free dessert blog post here.

3) Get Active – By exercising on a regular basis, you will improve your cardiovascular health, lower your blood pressure, maintain your weight and strengthen your immune system to ward off various diseases and illnesses. According to Harvard Health Publications, a regular fitness regimen may directly relate to a boosted immune system because it promotes good cell circulation.

4) Get Proper Rest– Without enough sleep, your body does not have the chance to recover from the day and recharge for the next. A lack of sleep can weaken the immune system, and ultimately increase your chance of getting sick as the seasons change. To be well-rested, The Sleep Foundation recommends older adults get at least seven to eight hours of sleep every night. If you do not usually hit these numbers, consider taking a nap during the day.

With these tips, your body (and immune system!) will be ready to spring forward in no time! Do you have any other tips that you follow? We would love to read what you do to transition from winter to spring. Curious about a Reverse Mortgage? Give us a call at 1-800-420-5515 to learn how this federally-insured loan can improve the quality of your retirement.

 

Still Curious About All the Reverse Mortgage Talk? Discover the Latest Change Seen by Counselors

Still Curious About All the Reverse Mortgage Talk? Discover the Latest Change Seen by Counselors

Happy senior couple sitting on a bridge in forest
Since the most recent changes to the Federal Reverse Mortgage program went into effect in October 2017, Reverse Mortgage counselors have witnessed another change: the reason borrowers seek counseling for the program: retirement security.

After the first two to three months of the lower principal limit factors taking effect, Cambridge Credit Counseling Corp. noticed that there were more needs-based inquiries nationwide than ever before. However, according to Reverse Mortgage Counseling Supervisor, Justin Lally, that is changing! He stated that “we are seeing an increase in those potential borrowers applying for a Reverse Mortgage as a way to supplement their overall retirement plan.”

Various lenders and Reverse Mortgage professionals also chimed in with their observations of the types of borrowers applying for the program.  Recently at the nationwide counseling organization Navicore Solutions,  Rich Verillo, Senior Housing Partnerships Manager, stated that he is seeing the same mix of needs-based borrowers versus wealthier borrowers since October. However, out of the needs-based borrowers, fewer want a Reverse Mortgage to pay off an existing mortgage, which shows that some borrowers are turning to the Reverse Mortgage for the extra financial cushion that it can provide.

Verrillo continued that “the profile of the borrower has not changed, but most of the borrowers we are seeing either have no mortgage or an existing low mortgage.  Colden Ray, a homeownership counselor at Belmont Housing Resources, stated that the only change she and colleagues have noticed is fewer borrowers looking for a mortgage payoff. She remarked, “at this point, we see the same kind of demographics. Honestly, it is probably a pretty similar mix of higher income and lower income.”

What is responsible for the increased change in borrowers’ needs for the Reverse Mortgage program? In short, a lot of it has to do with limited income and the possibility of outliving retirement savings.  Although most senior homeowners may not be aware that they are sitting on another bucket of money from the value of their homes, most seniors want to have the financial security that can be obtained by diversifying their income streams and assets.

Although paying off the mortgage is a requirement for borrowers, there will be some who need to free up their monthly mortgage obligation to have more funds to work with each month. On the other hand, some borrowers just need another pool of income for emergencies, home repairs, or medical issues that could potentially arise. The great thing about the Reverse Mortgage program is that even though the Federal Government highly regulates it, it is entirely customizable for the borrower’s unique needs.

Have you been considering how a Reverse Mortgage could supplement your retirement income? If so, Reverse Mortgage Answers is here to assist you with any of your questions happily. A member of our team is available to walk you through the process at 1-800-420-5515. With our expertise and in-depth knowledge of the program, you will work with the right company to improve the quality of your retirement.

Location

Headquarters
614 Old Edmondson Ave., Suite 200
Catonsville, MD 21228-3360
Toll Free:
1-800-420-5515

Maryland Office:
410-788-7070

Eastern Shore Office:
410-600-0600

District of Columbia:
202-719-0625

Virginia:
703-879-2316

Licenses

NMLS # 179014
www.nmlsconsumeraccess.org

Maryland - Lender # 06-20057

District of Columbia - Mortgage Broker # MLB179014

Virginia - Licensed by the VA State Corp. Commission, Mortgage Broker # MC5642

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