Mortgage and Real Estate Insights

BC mortgage brokers are not all the same. As a BC mortgage broker and a writer, the author has a deep insight into the BC mortgage market. Check out his BC mortgage rates at his blog.

In a 2004 economic study prepared by the Urban Institute for AA (formerly the American Association of Retired Persons), author Barbara Butrica and Cori Uccello contend that Boomers will bring more wealth in real terms at retirement than will the two previous generations. Median household wealth at age 67 will grow from $448,00 among current retirees to $600,000 among Boomers. Income at retirement is consistent with trends in wealth at retirement, the study shows that Projected household income at age 67 will increase from $444,0 among current retirees to $65,000 among boomers. As with wealth there will be income disparities among older and younger Boomer. On retirement income is expected to decline between older a younger Boomers. Reverse mortgage is expected to be popular.

However, other researchers, including Larry Cohen, director of 1 Princeton, New Jersey-based Consumer Financial Decisions, wonders if Boomers, given their spending history, will ever get to the traditional retirement years with any real assets.

”As the cohort responsible for the explosion of credit use in the 1980’s and 1990s, Boomers are hardly likely to forgo immediate gratification their later years,” Cohen said. “The trend among seniors will only exacerbated when the Boomers enter retirement age. The convenience of credit card use with the occasional slip into revolving along with leveraging their assets for around the world tours or trips mean that the more responsible Boomers will have credit insurance cover their inevitable demise. The rest, who are not so wealthy that they simply can afford that type of lifestyle, may wind up bequeathing their debt as their legacy instead of the trillions that they inherited.”

Biggest lure to a reverse mortgage: Spend and borrow, spend and borrow. . . . Boomers, who will work into their 70s, will continue to do both.

The writer is a reverse mortgage broker with numerous reverse mortgage clients.

A reverse mortgage is a home equity loan without a payment. You do not repay the loan as long as the home remains your principal residence. Your income and credit rating is not considered when qualifying for the loan. The writer is a reverse mortgage expert.

There’s a snowball already rolling down the hill. . . . The number of Americans aged 45-64-who will reach 65 over the next two decadesincreased 34 percent from 1990-2000. Every day, the 50+ population is growing by 10,000 people, and this trend is expected to continue for the next 20 years. Right now, an American turns 50 every seven seconds.

In addition to being the largest and healthiest grout ever to come down the American housing pipeline, the Baby Boomen will also be the wealthiest bunch with approximately two-thirds of their assets in home equity. And, as we explain later in this chapter, they are going to stay put for entirely different reasons than their parents. The pressure on the baby boomer households to generate income and maintain lifestyle in the traditional retirement years will take on a new focus.

Just how big could the reverse market easily become? Approximately $74 billion by 2015, according to Wells Fargo projections. Jim Mahoney, a veteran in reverse lending, heads the Irvine, California-based Financial Freedom Senior Lending Corp., a subsidiary of IndyMac Bank. He believes the word is just beginning to spread regarding the nonrecourse component of the loan.

“But our biggest challenge continues to be education,” Mahoney said. “We constantly battle the idea some people have that we are going to take the house. A reverse mortgage is simply a lien-just like any other mortgage. Our progress, though, is obvious. We moved from a cottage industry to a real force in all 50 states.”

A brokers mortgage in canada can fine tune the mortgage product for you. An expert mortgage broker is essential to understand your Vancouver mortgage options.

A reverse mortgage is a home equity loan without a payment. You do not repay the loan as long as the home remains your principal residence. Your income and credit rating is not considered when qualifying for the loan. The writer is a reverse mortgage expert.

According to the V.S. Bureau of the Census and the National Center for Health Statistics, the older population-persons 65 years of age and older-numbered 35 million in 2000 and represented 12.4 percent of the population-about one in every eight Americans. Nearly 80 percent of the nation’s seniors own their own homes and 73 percent of those are owned free and clear of any mortgages, amounting to nearly $1.9 trillion in home equity. In addition, Americans over the age of 85 currently comprise the fastest growing segment of the older population. In 2000, an estimated 2 percent of the population was age 85 and older. By 2050, the percentage in this age group is projected to increase to almost 5 percent of the V.S. population. The size of this age group is especially important for the future of the V.S. health care system, because these individuals tend to be in poorer health and require more services than the younger old. Projections by the V.S. Census Bureau suggest that the population age 85 and older could grow from about 4 million in 2000 to 19 million by 2050. Some researchers predict that death rates at older ages will decline more rapidly than reflected in the Census Bureau’s projections, which could result in faster growth of this population.1

“You have 5,500 people turning 65 every day,” said Cheryl Chapin, national sales manager for the senior products group at Wells Fargo.

“When you consider the vast number of people who will be eligible for this product in the next few years, the market is going to be huge.”

The writer is a passionate observer of the Vancouver mortgage scene. He is a TMG mortgage broker in Vancouver with a focus on bad credit mortgage refinance. The shift in the market has allowed him to help people link up with bad credit mortgage lenders.

A reverse mortgage is a home equity loan without a payment. You do not repay the loan as long as the home remains your principal residence. Your income and credit rating is not considered when qualifying for the loan. The writer is a reverse mortgage expert.

An elder does not have to own the home free and clear to obtain a reverse mortgage.

More questions will be answered in later chapters. It’s time to explore the groups and individuals who will be considering reverse mortgages.
We will show you why the numbers, reasons, and backgrounds will change over time.

Here we will explore why a significant percentage of older homeowners, plus their children-the 75 million baby boomers who are now asking financial and lifestyle questions for their parents-will consider a reverse mortgage as a viable opportunity in their life. While aging in place-including home maintenance, medical costs and property taxes-will be the primary reason for tapping into home equity for decades to come, there are many other underestimated needs and wants that will quickly race to the front burner once a greater number of consumers digest the relatively new reverse mortgage programs and the predicted health care debacle.

Travel, investments, longed-for toys, and even new home purchases will be popular choices under the reverse mortgage umbrella.

A brokers mortgage in canada can fine tune the mortgage product for you. An expert mortgage broker is essential to understand your Vancouver mortgage options.

The writer is a reverse mortgage broker in Canada. He specializes in reverse mortgages to help seniors life their life in dignity. Reverse mortgages can greatly assist the elderly in living their lives to the fullest.

W hat many people have now house, neighborhood, friends, church, club-is exactly what they’d like to keep. Unfortunately many of them simply don’t know how, or where, to look to find the funds to help them age in place. And, the immediate key for the present group of seniors is supplementing income for everyday expenses while affording long-term care. The two represent the most delicate balance in this country today-if you spend for one, you simply don’t get the other. The need for long-term care will generate a rush of reverse mortgage applications for decades to come. A reverse mortgage may not be the only avenue taken to offset the costs of retirement living, but many analysts believe it could easily emerge as the secret sauce.

Dr. Barbara Stucki, a Bend, Oregon, researcher and consultant, completed a study for the National Council on the Aging (NCOA) that supports tapping into home equity via a reverse mortgage as the critical financing vehicle to help seniors afford long – term care services at home.

Stucki, former senior policy analyst for the American Council of Life Insurance and an MRP employee, was the project manager and lead author of National Blueprint for Increasing the Use of Reverse Mortgages for Long-Term Care. The NCOA, with the support of the Centers for Medicare and Medicaid Services (CMS) and the Robert Wood Johnson Foundation, sought to find a way to increase the use of home equity to fund long-term care services and insurance, thereby curtailing the financial disaster predicted for Medicare and Medicaid.

A brokers mortgage in canada can fine tune the mortgage product for you. An expert mortgage broker is essential to understand your Vancouver mortgage options.

The writer is a reverse mortgage broker with numerous reverse mortgage clients.

“Seniors who are at a financial crossroads have many decisions to make,” Scholen said. “They should find out what they can get for their house and seriously consider selling. They can move to a less expensive house or area. . . go and see for themselves what they thought it would be. For most people, this process reinforces the strong tie to what they have now. When you look at other places, you get a better idea of what you value now.

It’s time to make some decisions-for both seniors and their adult children who will soon be making the same decisions for themselves. This book is an attempt to spark that process.

A brokers mortgage in canada can fine tune the mortgage product for you. An expert mortgage broker is essential to understand your Vancouver mortgage options.