If there were ever a “best time in history” to get a reverse mortgage, now may be it.
Home values are at record highs (maximizing the potential proceeds of a reverse mortgage)
Reverse mortgage rates are at record lows (as low as 3.25%)
Reverse mortgage rules are also more flexible than in the past (For example: Funds can be received over time instead of in one lump sum, and interest payments can now be made to reduce interest costs.)
The potential is high that reverse mortgages will not be as attractive this time next year.
Interest rates are expected to rise (which would make it more expensive to take out a reverse mortgage).
Home prices could fall (thus reducing the potential proceeds from a reverse mortgage)
So, if you’re over 60, in need of cash, and have sufficient home equity, now is as good a time as ever to consider a reverse mortgage.
Keep in mind one thing, however. Reverse mortgages are not always the best solution. There may be less expensive options to create cash flow, depending on one’s circumstances. Proper counsel from a qualified mortgage planner is therefore essential.