Reverse Mortgage Interest Rates Are A Mute Point?
by Zachary Scott
March 30, 2009
As a Reverse Mortgage Loan Officer I find that all the debate about interest rates are really a mute point.
How can you say that, you ask?
Interest rates are a mute point because the value that the reverse mortgage offers is what you are really buying.
Interest rates, percentages and terms do not tell the whole story, they don't even tell part of the story.
You live life, not interest rates and the reverse mortgage is about living your life.
In living your life you may have a need or want to borrow money that you know you are going to have to pay for.
If you sell your home you are going to have to pay to sell it and then pay to live somewhere else.
Or, do nothing and put up with the situation you are in which also has a cost you must bear.
In all the situations above you need to determine the different in the cost related to your situation now and into the future.
It goes back to the pay me now or pay me later, which I have a few clients losing their homes because they thought the reverse mortgage cost to much when in reality that 1% no cost loan is now costing them their home. (Now that is expensive!)
So beware of all the interest rate fear mongering as it should not be the only factor in your decision to do the reverse mortgage.
Remember you need to understand the value the reverse mortgage offers to you and the value to your loved ones, not whether the interest rate is 3.105%, 3.113% or 4.123%.
Call me today or fill out the form on the right and we can have an informed conversation about whether the reverse mortgage is the right thing to do based on your situation.