Spiraling Stocks Send Seniors to Reverse Mortgage
It isn't a secret that that the stock market is down a solid 35% or more. I don't keep accurate tabs on it because I don't have money in the market.
I was too smart for the stock market. I put my money in real estate so I'm down closer to 70%. I can't wait for next year.
I'm in the reverse mortgage business and my phones are ringing with seniors on the other end panicking about losing their nest egg.
I am by no means a financial genius, but I have to wonder what the reverse mortgage can do to help these folks?
Many of them have seen their entire life saving cut close to in half.
It doesn't make a whole lot of sense to me. I mean they already own the equity to the home. It's there's. What they perceive a reverse mortgage will do for them is convoluded.
Most tell me they want it for security purposes. What does that mean? They've lost a bunch of money in the market. Is having a bunch of money in a line of credit really going to help them?
I have serious questions about this logic. Other, more panicked or more aggressive potential clients (I'm not sure which) believe the market has seen its worst days are looking to plant reinvest their home equity into the market.
Our 2nd group may be making a mathematical mistake. After all, how good can the investment actually be in these times? Just to take the money out it will more than like cost them six percent per year.
The math doesn't work out very well, even if they get 10%. Less than a 4% return.
Look, the reverse mortgage is not the best investment strategy. Now, if you have a sure fire winner, I'd say go ahead and do it. But who has that. Last person I knew who had a sure fire winner went to jail for insider trading.
Please relax a bit with this shakeup in the market. Your equity in the home is important. Use it when you need it. Cooler heads prevail in times like these.
I was too smart for the stock market. I put my money in real estate so I'm down closer to 70%. I can't wait for next year.
I'm in the reverse mortgage business and my phones are ringing with seniors on the other end panicking about losing their nest egg.
I am by no means a financial genius, but I have to wonder what the reverse mortgage can do to help these folks?
Many of them have seen their entire life saving cut close to in half.
It doesn't make a whole lot of sense to me. I mean they already own the equity to the home. It's there's. What they perceive a reverse mortgage will do for them is convoluded.
Most tell me they want it for security purposes. What does that mean? They've lost a bunch of money in the market. Is having a bunch of money in a line of credit really going to help them?
I have serious questions about this logic. Other, more panicked or more aggressive potential clients (I'm not sure which) believe the market has seen its worst days are looking to plant reinvest their home equity into the market.
Our 2nd group may be making a mathematical mistake. After all, how good can the investment actually be in these times? Just to take the money out it will more than like cost them six percent per year.
The math doesn't work out very well, even if they get 10%. Less than a 4% return.
Look, the reverse mortgage is not the best investment strategy. Now, if you have a sure fire winner, I'd say go ahead and do it. But who has that. Last person I knew who had a sure fire winner went to jail for insider trading.
Please relax a bit with this shakeup in the market. Your equity in the home is important. Use it when you need it. Cooler heads prevail in times like these.
About the Author:
You may consider using a Texas reverse mortgage to invest. Learn first and read this report. Also, learn details about the Texas reverse mortgage, click here.
posted by Debt Consolidation Loan at
5:45 PM
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