Thought reverse mortgages were a scam until my aunt got one

I always heard horror stories about people losing their houses, so I figured reverse mortgages were just predatory loans. But my aunt in Phoenix took one out last year to cover her property taxes and medical bills, and she showed me the paperwork. Turns out she had enough equity where the loan was way less than her home's value, and she still kept the title. Has anyone else seen these work out okay for a family member?

3 comments

3 Comments

johnson.river1d ago

My dad did the same thing in Florida and it saved his retirement.

maxl931d ago

Bruh that's awesome! Same thing happened with my uncle down in Texas. He was panicking about money for years then sold his old house and bought a cheap place near the coast. Now he's just chilling fishing every weekend and doesn't stress about his retirement fund anymore. Honestly people sleep on how much moving to a cheaper area can change your whole financial situation. It's like the best hack for getting ahead when you're on a fixed income.

hannah_west391d ago

Aunt in Arizona barely broke even after fees and interest stacked up, not as great as it looked.