Reverse Mortgage Success Story... Another use for this Financial Tool.

I am often asked why seniors would put a Reverse Mortgage against a home that they have spent years paying off, or perhaps they own free and clear.

There is really many reasons a senior may want or need to take out a Reverse Mortgage.

What I most often explain is that a Reverse Mortgage is merely a “Financial Tool” for senior citizens… a tool that can be used for many different purposes. Yet it is not necessarily a tool that is for everyone.

I’ve decided to post “Reverse Mortgage Success Stories” on my site from time to time.

Almost every HECM (Home Equity Conversion Mortgage) that I have closed with a senior citizen, has had a unique reason for taking a Reverse Mortgage against their home. I think over time you will see the many reasons a Reverse Mortgage is a great tool for a homeowners 62 and over.

Just this week I closed a Reverse Mortgage for a great woman named Barbra. She lives just south of Portland. Barbra is in her early 70’s and lives in a home her late husband built over 30 years ago.

Barbra still works everyday for the families sewing business. She has been a seamstress for over 40 years. She works because she loves what she does, but she also needs the added income for her outgoing debts.

Barbra has owned the home free and clear in the past. A few years ago she took out a loan to do some remodeling and other home improvement items. She had a total mortgage payment of $1,300 a month.

With the equity Barbra had in her home, combined with her age, we were able to close a Reverse Mortgage for her in less than 3 weeks. She no longer has a mortgage payment worry about paying, and she opted to take a generous lump sum payment for the remaining balance allowed to her.

Now Barbra doesn’t need to work for the income to cover her old mortgage, but she can work merely because she wants too. Personally I think Barbra will take much more time off to enjoy her grandchildren and only sew for hobby. We’ll see.

I have really enjoyed working with Barbra. I am glad I was able to help her. I have made great friends while specializing in this program.

If you want to know more about this program for you or someone you know, please don’t hesitate to contact me. I can provide you with literature or even a snapshot of what a Reverse Mortgage may be able to do for you. Of course there is never an obligation to see what you may qualify for.

Contact me anytime, and thanks for reading ~Bryan

email: Bhusen@sunsetmortgageco.com

Book Clubs and 401k's

Recently a realtor I work with invited me to speak at a book club she has been a part of for many years.

“Speak about what?” I wondered at first as I have never been in a book club.

Turns out there were two seniors in this group that wanted to learn more about Reverse Mortgages in a one on one setting.

I have been involved in a few larger workshops as a presenter to an audience of 30 or more people. Those types of presentations are great for the masses, but I think one on one or small group settings are the best.

Smaller groups don’t need power point projectors. No microphones. No stadium seating. Just me, front and center in the living room, explaining all aspects of a reverse mortgage.

Reverse Mortgages are getting more attention every day. There’s many reasons senior citizens are considering them today. Take this evening at the book club for example:

• Helen is in her 80’s and made her last payment of a 30-year mortgage only sixty days ago. Now she is looking at her possible options to use the homes equity in her favor. Her main excitement being there is no monthly payment to repay, as she is on a fixed income.
  
• Patti on the other hand owns a condo with plenty of equity. Her concern was that her retirement is tied up in their stock accounts. With Wall Street in such turmoil, and with her recent losses in her portfolio, she is debating what to do? Sit still? Pull her money out at a loss and pay tax penalties?
  A great option for her could be a Reverse Mortgage. She can create a credit line and only draw on its funds when needed.

Remember the “The Big 3” advantages of a Reverse Mortgage.

1. No Credit Score Requirements
   
2. No Income Requirements.
   
3. No repayment of the loan till the borrower leaves the primary residence.

Call me today if you would like a one on one to discuss Reverse Mortgages. Either in my office or in your living room.

Bryan Husen

Social Security will increase in 2009

Today I was reading that Social Security benefits will increase 5.8% effective this January. This is the largest increase for benefits in 27 years. Over 55 million seniors will see an average increase of $63 dollars a month. Not a huge amount, but I am sure every little bit will help. This is tough times for seniors. Retirees with fixed incomes have seen a 51% drop in buying power since 2000 with the near doubling in prices for home heating oil and gasoline, and more than double the cost of such staple foods as eggs and potatoes. This month AARP is reporting that nearly 60% of its members are having a hard time paying for basic groceries and medicine.

With these and many other issues seniors are facing financially, it doesn’t surprise me that more Reverse Mortgages are being written every year. This financing is becoming a common solution to free up income and create a more comfortable lifestyle for seniors.

Let me list 6 Great Benefits to a Reverse Mortgage that help you enjoy a more comfortable retirement in your own home:

• Independence - You continue to own and live in your own home


• Liquidity - Receive monthly payments instead of making them


• Simplicity - No income, credit or employment requirements needed to qualify


• Choice - You may receive funds as a lump sum, in monthly instalments, as a line of credit, or as an up-front sum plus monthly allotments


• Security - Does not affect Social Security, pension or Medicare benefits


• Ownership - Your heirs can keep the property once the Reverse Mortgage is paid in full

Every month I am seeing more interest in this this safe and insured program. Please contact me today to receive a brochure or DVD that will explain in great detail and help you to understand the benifits of a Reverse Mortgage.

-Bryan Husen

Three misconceptions many seniors have regarding Reverse Mortgages.

The phone rang today and on the other end was Donna, a very angry woman. She had received some marketing materials regarding Reverse Mortgages. Donna called to tell why these were such horrible loans, and that mortgage consultants like me shouldn't be writing them!

After I listened to her, I asked her if she could list for me the main reasons she thinks a reverse mortgage is so bad? This is what she said:

"Reverse mortgages are just programs that cause retired people to lose their homes. If the families can’t afford to pay the bank, then they stick the burden on their kids to pay for it. Reverse Mortgages also effect your social security checks, and for many people, that's the only source of income they have."

She listed three main misconceptions and assumptions that many make about these programs. Honestly, she couldn't be any further from the truth. This is how I explained the few points she made.

"Reverse mortgages cause retired people to lose their homes."
This is the most common myth currently out there about reverse mortgages, and it could not be more false! People say this because they are thinking about the concept of collateral. Collateral is something that applies to mortgages and home equity loans, but it does not apply to reverse mortgages in the conventional sense because reverse mortgages do not have monthly payments. The money that is loaned to you in a reverse mortgage is recouped when you pass away or sell your home; a reverse mortgage lender will never force you to sell your home while you are still living in it in order to get their money back.

"If the families cant afford to pay the bank, then they stick the burden on their kids to pay for it."
Once again, it is very much untrue. As mentioned above, the money is lent to you because of the large equity that you have in your house. The debt is never called in until you either pass away or sell your house and because you are using the money from your home to pay back the debt after your need for the home is gone, there is no way that the debt would be passed on and forced to be paid by your children.

"Reverse Mortgages also effect your social security checks." Social security benefits are based on the contributions you’ve made over your lifetime into the social security fund and therefore there is no way they can possibly go down based on the reverse mortgage should you choose to take it out. Even if you currently happen to be on an income tested benefit, the reverse mortgage is a loan. It is not income and therefore can not affect your benefit in any negative way.

The phone call didn't end with Donna asking me to take an application for her own reverse mortgage, but it did end with me getting her address to mail her some factual brochures, truthfully explaining the benefits of a Reverse Mortgage. (She didn't have a DVD player or I would of sent her a DVD too.)

These programs are great for the homeowner that is retired, happy with their lifestyle and location, but would like to use the equity in there home to have more disposable income every month.

Please contact me today if you too would like more information. There is no obligation to see what you may qualify for.

Seniors and their RVs

I took off from work early last week. I decided to go camping in the Columbia River Gorge with my little trailer. Everyone knows I love to spend the weekends camping in my little fiberglass trailer.

The reason I left town early was because I knew I was going to be going to a first come, first serve campground. I figured if I arrived a day before the weekend I'd beat all the city campers for a good spot.

Boy was I surprised. I showed up and there were tons of people already there. What I found interesting was the majority of them were Seniors. All in different types of RVs touring the states.

I met a couple from California, Arizona, even saw one vehicle from Wisconsin. I was very envious.

Two of the campsites I visited with last weekend were very enjoyable to talk too. Both told me that part of their retirement involves touring the United States 4-6 months of the year. How great is that? I know when I get to retirement age I want to do the same sort of thing. Not sure if it will be in the same little trailer, but I know that's what I want to be doing.

If you are looking for a great place in the Gorge to camp or take your RV, visit the Viento State Park. Nice thing about this park is its less than 10 miles from shopping and dining in Hood River. Its truly a great place to get away and relax but not too far into the sticks.

Are you retired and own an RV, but a tight budget makes it hard to use it as much as you would like?

If thats the case, then please Contact Me for some possible options to make those dreams of hitting the open road become a reality.

Contact Information for Bryan Husen of Sunset Mortgage

Bryan Husen - Mortgage Consultant

Sunset Mortgage

10365 SE Sunnyside Road, Suite 340

Clackamas, OR 97015

Office: 503-594-1131

Cell: 503-849-7782

Fax: 503-594-1122

Toll Free: 1-800-921-2636

WA License # 510-LO-36567

Email: bhusen@sunsetmortgageco.com