Caring for a parent or another loved one is one of the most challenging responsibilities we face. Family caregivers manage home medical care, coordinate with insurance providers, and manage finances. You do it all, selflessly, with your loved ones’ best interests at heart.
Children wanting info for parents about a Reverse Mortgage?
Burdens in taking care of the elderly parents are increasing for children. If a parent is examining the possibility of taking out a reverse mortgage (or even if the idea is yours), here are some steps that may help.
All children and close family members should be involved in the discussion.
- 1. Start a basic review of your parents’ finances.
- 2. What kind of income do they have (social security, pension, etc.).
- 3. What are their basic expenses (cost of living)?
- 4. What are their current resources and or liabilities?
- 5. Try to understand their hopes and expectations.
- 6. How do they desire to live affluently or comfortably?
- 7. Any consideration of big purchases?
- 8. Any desire for a lot of traveling?
- 9. Do they desire a move to an independent or assisted living facility?
- 10. Do they prefer to remain completely independent for as long as possible?
It is important to note that children should first to try to understand their expectations, and then after taking account of their financial situation, to administer the best they can if they can. If children see a big gap between their outlook and economic reality for parents then patience in managing expectations in a gentle manner is often a great resource.
While it is understandable that children feel guilty about loaning money to parents or sometimes not having enough money to help, most children just want parents or even grand-parents to be happy.
A big concern for children is will they always be in a position to be able to loan money for the long term, especially with college education looming for some parents. We often underestimate the desire for control we all have of our lives and we all want that.
A reverse mortgage loan may make a lot of sense and we encourage children to sit in on the education to see if it makes sense for their parents. Get the facts!
If you want to optimize your retirement or put an end to your financial worries, we can help. If you want to explore innovative ways to build on your investments, we have a solution.
Caring For Loved Ones Isn’t Easy
Caregiving demands a great amount of time, patience, and love. Caregivers also have to delicately balance their loved ones’ needs with their own. For all of its rewards, caregiving places incredible stress on the giver. Common concerns include:
- How can I help my loved ones live a more quality life during retirement?
- How can I help my loved ones manage healthcare costs?
- Can I help them avoid debt later in life?
- Will my loved ones be able to stay in their home?
Focus on Your Loved Ones, Not Their Finances
To ensure that their loved ones receive the best care, many caregivers seek out support groups and other outside resources for advice and to help ease the workload.
Finances are no different. If you are caring for a loved one, you can give him information about an often-overlooked financial resource—a reverse mortgage. A reverse mortgage may help your loved one cover medical and living expenses without sacrificing quality of life.
With a reverse mortgage, your loved ones can borrow against what may be their most valuable asset—their home. A reverse mortgage allows homeowners to convert a portion of their home equity into tax-free* funds.
Your loved ones can take the proceeds as a line of credit to cover unexpected medical expenses; as monthly advances to ensure a comfortable lifestyle; or as a lump sum to pay off any outstanding debt. Your loved ones don’t have to repay the loan as long as they live in their home.
We Will Help You Help Them
We empower homeowners and homebuyers age 62 and over with the tools to achieve financial independence.
Get the support you need to care for your loved ones.* Not tax advice. Consult a tax professional.