Archive for October, 2009
There are many reasons for wanting to take out a reverse mortgage, all of which have their justifications. One of the main reasons propelling the growth in the industry is home improvements. At a time when income can be fixed and low, a reverse mortgage can help pay for unexpected expenses that simply cannot be accounted for by your budget. As many struggle with matching their outgoings, the need for a new heating system, modifications to the accessibility of the house, or redecorating dated rooms can be too much. A reverse mortgage allows you to tap into the equity in your home to help pay for these improvements – making your life that much more comfortable.
Unlike regular mortgages, a reverse mortgage has a very specific demographic that it is targeting. In most cases, the person taking out the reverse mortgage has to be over the age of 62. This narrows down the potential participants by quite a way. Further to this, it is suggested that you have a good reason for wanting to take out a reverse mortgage. In these bad financial times, there are a plethora of reasons why someone might want extra money to fund their retirement years. The stock market crash has affected many pension funds and gilt rates, along with interest rates on savings. It is for these reasons that a lot of people are turning their attention to the reverse mortgage industry.