Noah Dingli, Two Thousand Dollar, Sixty Two Years discussed on Michael Medved

Automatic TRANSCRIPT

Here on the word of wealth financial network I'm Noah Dingli and I thank you for joining me now it's time for our daily chat with Marty Schneider the retirement professor Marty how are you doing pretty good I'm doing better as good as the Padres how you doing this weekend you know moving right along to the financial talk let's talk reverse mortgages Marty about that okay yeah that be in your best interest I think so yet again what now is if it is a question that comes up just about to every day here with me in my office I get asked about reverse mortgages all the time and before I come in I just want to say this I'm on a mortgage guy I don't do reverse mortgages however what the benefit Marty yeah the benefit is that if somebody is you know retiring in maybe in a bit of a cash flow crunch where they still have a mortgage payment in their retirement years it's really you know kind of debilitating the cash flow yeah if they have a reverse mortgage they can do one of two things they can stop the mortgage payment permanently and still live in their home for the rest of their lives you know somebody's got a fifteen eighteen hundred to two thousand dollar a month you know mortgage payment it makes a huge difference in terms of not draining their retirement funds to rapidly to to make those mortgage payments so that's one benefit her in a certain circumstances no if there's enough equity in that home they can actually not only stop the mortgage payment but they can receive a monthly check of from the equity in their home through a reverse mortgage so again you know it's not the kind of thing money is there an age range for run just if if people are listening out there is there an age range that you can really capitalize on with the reverse mortgage we have to be at least sixty two okay and if it's a husband and wife they both have to be at least sixty two years of age so there is that age requirement and you know we know it's a kind of thing where you want to go in carefully that the reverse mortgage the interest rates are a little bit higher usually than the the standard mortgage but by the same token you know you're not making the payment and eventually years later when there is either a death or of the husband and wife were one of the other in that property is passed on to the heirs or beneficiaries they can still receive that now they'll have a little higher mortgage and that's because the mortgage has been building over the years but they can still sell the home and you know frankly no so has the appreciated value of that home because I think reverse mortgages get a bad name yeah they do because they're misunderstood yeah and in the right circumstances and they're not for everybody concerned it required by everybody but in the right circumstances no you can really make the difference between you know comfortable mortgage cat retirement cash flow we were very very dicey in a live in live in by the by you know just by the street you know but nails if you will in so this are really troubling to live that way month after month and watching your you know your accumulated resources dwindling this could stop that in it can be really helpful in the right situation and I imagine people can come see you you could recommend a reverse mortgage to them and then you can probably refer them to a different source exactly exactly right that's exactly right if you like.

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