When planning for retirement, many Canadians don’t think about Reverse Mortgages. At Rampone-Marsh Mortgages, we want to help you understand how a Reverse Mortgage can make your retirement more comfortable. Our team works for you, not the banks, to help you gain financial freedom. Let’s look at the benefits of a reverse mortgage and a real-life example of how it helped one of our clients.
What Is a Reverse Mortgage?
A reverse mortgage lets homeowners aged 55 or older borrow up to 55% of their home’s value without selling it. Unlike a regular mortgage, you don’t have to make monthly payments. You only pay back the loan when you sell your home, move, or pass away.
Benefits of a Reverse Mortgage
- No Monthly Payments: You don’t have to worry about making mortgage payments. This can help ease financial stress in retirement.
- Tax-Free Money: The money you get is tax-free, meaning it won’t affect your Old Age Security (OAS) or Guaranteed Income Supplement (GIS) benefits.
- Stay in Your Home: You can use your home’s equity without having to sell or move. You get to stay in the home you love.
- Flexible Use of Funds: Whether you want to travel, pay for medical costs, renovate your home, or help your family, the money is yours to use however you want.
Real Example: A Reverse Mortgage Success Story
Here’s an example of how a reverse mortgage helped one of our clients in Kelowna, BC.
Meet John and Susan:
- Ages: John is 68, and Susan is 66
- Home Value: $800,000
- Outstanding Mortgage: $150,000
- Goals: To boost their retirement income and cover unexpected medical bills
John and Susan were retired and living on a fixed income. They wanted more financial freedom but didn’t want to sell their home or make monthly payments. After meeting with us, they chose a reverse mortgage.
How It Helped Them:
- Loan Amount: They accessed 40% of their home’s equity, receiving $320,000 tax-free.
- Use of Money: They paid off their $150,000 mortgage and used the remaining $170,000 to cover medical costs and take a dream vacation.
- Peace of Mind: With no monthly mortgage payments and extra money, John and Susan felt secure and enjoyed their retirement without worry.
Thanks to the reverse mortgage, they stayed in their home, handled unexpected expenses, and lived more comfortably.
Why Choose Rampone-Marsh Mortgages?
We’re Kelowna-based mortgage brokers who focus on your unique financial needs. We work for you, not the banks, to ensure you get the best advice and terms. Our goal is to help you make an informed decision and enjoy financial freedom in retirement.
Your Local Mortgage Experts
Rampone-Marsh Mortgages is here to help homeowners in Kelowna and the Okanagan. We specialize in reverse mortgages and will guide you through the process. If you’re curious about how a reverse mortgage could benefit your future, reach out to us today.
Contact us to learn how a reverse mortgage can turn your home equity into a valuable financial resource!
