With A Reverse Mortgage You Can Boost Your Monthly Retirement Income
Milton, Ontario (PRWEB) March 29, 2012
According to mortgage expert Mathieu Fugere there has recently been a lot of negative press surrounding reverse mortgages. Too many “experts” have been comparing reverse mortgage products to highway robbery. Why are these untruths becoming so popular amongst the mortgage industry?
The fact is that some people, including mortgage experts and financial advisers, are not properly educated about reverse mortgages. A lack of experience dealing with retirees is another reason that some people in the industry have an unfair negative view of reverse mortgage products ("Today's Seniors", March 28, 2012).
Many “experts” point out that a home equity line of credit is a better option than a reverse mortgage. This statement is true for some people. However, this piece of advice fails to realize that for many clients looking to access their home equity there may be other issues preventing or discouraging them from taking out or being approved for a home equity line of credit.
People who have bad credit, low income or no income may not qualify for other types of home equity loans. In addition some people already have one home equity loan and can’t handle paying the interest on it. For people in these situations a reverse mortgage may be an excellent option (Mathieu Fugere).
Reverse mortgages in Canada are designed as a good home equity product for retirees. Many people who retire can replace some of their lost income with the monthly payments they will receive from their reverse mortgage. A great benefit of a reverse mortgage is that interest payments don’t begin until you no longer live in the home or sell the home. For this reason, a reverse mortgage can be a good product for a retiree who has already paid off their mortgage, but needs to access additional funds even though they don’t have a steady income ("Today's Seniors", March 28, 2012).
Most companies who deal with Canadian mortgages keep their client’s interest as the main priority. This responsibility to the client remains intact with companies who deal with reverse mortgages in Canada. The interests of the client always take priority. The fact is that responsible reverse mortgage companies do not have CHIP (Home Equity Bank) or other mortgage lender interests in mind when recommending a product to a client.
The fact is that if a reverse mortgage is not the right product for a client then it is only ethical to advise them against it, whether or not they qualify. Since each individual case is different it is important for consumers to understand that a home equity loan such as a reverse mortgage may be right for one person and not right for another (Mathieu Fugere).
It is important to discuss Canadian mortgages products with an experienced financial expert. Look for someone who is properly educated about reverse mortgages and other types of home equity loans, is experienced in dealing with retirees and will represent your interests and not those of mortgage lenders or CHIP.
With all the negative press out there it is important to keep in mind that reverse mortgages are ideal for some clients, but of course don’t make sense for everyone. Mortgage Edge only recommends safe and secure products and our client’s interests are always our primary concern.
People considering a reverse mortgage who are interested in learning more about the advantages and disadvantages can visit http://www.ReverseYourMortgage.ca/ or contact Mathieu Fugere at 1-866-265-8625.