INTEREST RATES AND WHY THEY MATTER FOR SENIOR 62 AND OLDER

A Home Equity Conversion Mortgage (reverse mortgage) may be a good fit for you in retirement.

You may have already heard that the Federal Reserve recently increased their benchmark interest rate. Generally increasing interest rates are understood to effect the amount of money you can borrow to purchase a new home. But that’s only half of the story.

But what about Reverse Mortgages?

You may be asking“how does this effect me if I wait to get a reverse mortgage?”What is not typically discussed in the media is the impact rising interest rates have on reverse mortgage borrowers. Simply put, the higher the interest rate when you start your loan the less money you have access to for the life of the loan. In other words the amount of funds you qualify for decreases as interest rates increase, that is until we originate your loan.

The good news is that we are still in a historically low interest rate environment. This means that you could possibly get your reverse mortgage at today’s low rates giving you a larger sum of money for a line of credit or to pay off your existing home mortgage.

The chief concern amongst today’s retirees is having enough money to live comfortably.

A Home Equity Conversion Mortgage may be the answer you’ve been looking for:

Available to eligible homeowners 62 or older Eliminates existing mortgage payments

Setup monthly payments to YOU instead of making them!

Establish Line of Credit for future use or emergencies

Here’s another tidbit. Once you secure your reverse mortgage rising interest rates will not impact how much money you have access to in the future. In fact with an open line of credit the unused portion grows each month in most instances as interest rates rise.

Reverse Mortgage Specialist NMLS 455497 Retirement Funding Solutions
P: 415-717-4618 E:[email protected] Serving the SF Bay Area & MarinSynergy One Lending, Inc. d/b/a Retirement Funding Solutions NMLS 1025894. Licensed by the Department of Business Oversight under the California Residential Mortgage Lending Act - California License 4131356.These materials are not from HUD or FHA and the document was not approved by HUD, FHA or any Government Agency.