There are many elderly who are without adequate cash reserves to meet their ongoing expenses, yet own substantial equity in their home. Reverse mortgages have been heavily marketed to the elderly as a way to leverage home equity by providing needed cash during an elderly person’s lifetime with interest and principal to be paid upon death.
In late August of 2017, the Consumer Financial Protection Bureau released 3 publications containing information relevant to reverse mortgages.
- An issue brief that explores the tradeoffs of obtaining a reverse mortgage loan in order to delay claiming Social Security benefits;
- A discussion guide designed to be used as a primer on reverse mortgages and to help homeowners considering a reverse mortgage prepare for their discussion with a HUD-approved housing counselor; and
- A short video that provides key information about the features of a reverse mortgage.
This information can be obtained directly from: www. consumerfinance.gov.