Advantages of a Reverse Mortgage

According to this worrying article from Time Magazine, 56% of Americans have less than $10,000 saved for retirement, and almost 1 in 3 Americans have no retirement savings at all. Coupled with the increased life expectancy of most seniors, many will have to work through their retirement years just to get by. Fortunately, if you have equity in your home, Futura Mortgage can provide a tool you can use to give yourself financial stability during retirement: a reverse mortgage. Here are some of the advantages to reverse mortgages that you ought to consider before you reach retirement.

  • Reverse mortgages give immediate access to cash

For seniors with a cash flow problem or even for those without enough money to travel or follow their bucket lists, reverse mortgages can give you the income necessary. You can devote more finances to pay down other bills, eliminating other payments, or simply enjoying a more comfortable lifestyle. In some cases, eligible homeowners can even eliminate their existing mortgage debt and use their remainder of their reverse mortgage as a line of credit.

  • Reverse mortgages extend the life of other retirement savings

At age 62, most people will begin taking out their social security benefits. But what you might not know is the longer you wait to take out your social security, the more you’ll earn when you finally start. At the same time, 401ks get taxed just as you need to use them. Reverse mortgages can help by giving you a stream of income you can use in place of these avenues to help you get more out of them further down the line.

  • The value of a reverse mortgage loan increases as time goes on

One benefit that you might not realize is that if you take use a reverse mortgage as a line of credit and don’t use it, the amount of the loan increases according to the interest rate. This means if you never have to use your reverse mortgage funds until something major comes along (like medical expenses), the amount available to you also increases. This can give many retirees a lot of peace of mind for the future.

Consider a reverse mortgage from the professional CPAs at Futura Mortgage and protect your future as you enjoy your golden years. We can help you perfectly customize your reverse mortgage to suit your needs.

Welcome to Futura Mortgage

For many upcoming seniors in the United States, they feel like retirement is too far out of reach and, although they’ve lived in their home and payed for it for years, they won’t have any options for financial flexibility in their later years. Here at Futura Mortgage, we can assure you of just the opposite. Thanks to brand-new government-insured reverse mortgages, you can have guaranteed tax-free income based on a portion of the equity of your home for the rest of your life and your spouse’s life (so long as you continue to live in the home). Your home will never fall into foreclosure. The money can be spent on anything you choose, and you’ll never have to make another monthly mortgage payment ever again!

The best part of a reverse mortgage is the ability to receive your money the way you want. We can set up monthly tax-free payments for life, a lump sum at closing, monthly payments for a specific amount of time, choose to keep funds in a credit line, or any combination of the above. We promise never to treat you like a large, faceless national bank, and customize your reverse mortgage to fit your lifestyle and circumstances.

Futura Mortgage was built on the principles of excellent service and dedication to our clients. Stay in touch with our website and blog for more information on how a reverse mortgage may be just what you need to help you retire comfortably. Feel free to contact us with any questions. We’d love to help you today!

How You Can Feel Secure with Total Financial Protection

As you may be aware, our great country is not currently seeing its best days. We live in perilous times and are facing tremendous challenges, both domestically and abroad. Our personal financial security is at risk as few times in our history, but a reverse mortgage can help you be prepared for whatever the economy throws at you.

Let’s explore the two most likely scenarios that may befall our country and the effect each will have on your financial security.

First Scenario:  Depression
It’s no secret that the entire world has borrowed huge amounts of money. Both governments, including the USA, as well as its citizens have run up tremendous debts; much more, in some cases, than can ever be repaid. In the event of massive loan defaults, the supply of money collapses. Money will not be available to carry on everyday buying and selling. Commerce will grind to a halt and people will lose their jobs. They will find it difficult to buy things.  As a result, prices will drop. This is especially true with real estate. It’s conceivable in such a scenario that housing prices could decline by as much as 50% or more. For most people, this would wipe out a huge portion of the equity in their most valuable asset.

A reverse mortgage would protect you against such a scenario. In the event of a depression, you will have benefited by using the equity in your home for a lifetime of income. Its payout is based on the current equity in your home in combination with your age and interest rate. You can protect the equity you have in your home today and not have to worry about a depression effecting you negatively.

Second Scenario:  Inflation
There is a tremendous amount of money in circulation within the US economy. The government has printed huge amounts of money to pay for its many social programs. Unfortunately, it now faces a deficit of approximately $20 trillion. That amount exceeds the entire output (GDP) of the US economy for a single year. Some experts believe that this could lead to tremendous inflation; the kind you only read about in history books. In that case, the price of assets like your home will increase in value.

You may think you will now be stuck with your original reverse mortgage despite the fact that your home as risen in value. But that’s not the case. You can pay off your reverse mortgage at any time you want and take advantage of higher prices of homes by either selling or refinancing your home.

So, you see, you are protected either way; in the event of a depression you already have protected your equity and will receive a monthly payment as long as you live, and you can never lose your house to foreclosure due to an unpaid mortgage.  On the other hand, if your house increases in value and you want to access your increased equity, simply pay off the balance of the reverse mortgage like you would with any type of mortgage and either sell or refinance your home. It really is a win-win situation.

To find out if a reverse mortgage is right for you, contact us online or give us a call at 844-388-8726.