Many people in their retirement years run out of money before they pass away. Their only income is their Social Security check they receive every month. Some who have a 401(k), IRA or other form of retirement savings take from these assets as soon as they retire.
A reverse mortgage can provide an opportunity to avoid dipping into those assets by using the equity in your home to supplement your income through your retirement years.
CNBC reports that average Americans need about $1 million in assets to retire without outliving their savings. Many Americans feel cheated out of their retirement because they use up their assets so quickly, especially 401(k)s and IRAs.
Those accounts are drained most often because the funds are easy to access when people reach retirement age. Retirees may feel pressured to utilize assets immediately instead of spreading them out and using them as one would use a monthly paycheck.
A reverse mortgage offers another solution. You can use the reverse mortgage as your sole income, leaving your investments alone so they can increase in value.
Reverse mortgages are a great asset for various reasons — not only can they help you get rid of your monthly mortgage payment*, but they can also help you increase your monthly income by supplementing money you receive from retirement savings.
You’ve put money into your retirement savings as well as into your home. Now use that money in your home to help you gain more freedom in your retirement. Worry less about running out of money in your retirement years by contacting one of our Licensed Specialists today.
*Homeowner is still responsible for taxes, insurance and property maintenance.