"All of life is a constant education." - Eleanor Roosevelt
The decision supporting a reverse mortgage begins with EDUCATION. Whether working with consumers or their trusted advisors, the key is to teach how it works, how it helps, how to minimize costs and how to balance wealth preservation and quality of life. In cases where the reverse mortgage option is decided, it should be a win-win. In a depreciating market, borrowers may keep their home with no mortgage payment and no credit burden. If the loan balance exceeds the value, they continue to win. In an appreciating market, reverse mortgages are a great way to grow equity, adding the benefit of a virtually liquid "line of credit" which, in the case of a HECM, will actually build at the same compounding rate as the interest rate charged on the amount borrowed.