Hi, it’s Don Murdoch here, from reverse mortgage broker, Seniors First.
A common question I’m asked is “Will a Reverse Mortgage affect my Age Pension?”
The quick answer is: maybe.
If you’re a Queensland Age Pensioner thinking about Reverse Mortgage, this should be the focus of your attention right now.
I’ve done hundreds of Reverse Mortgage loans & in my experience there’s usually no impact on the borrower’s pension.
BUT every case is different, and you can’t be too careful.
Here are the top warning signs a Reverse Mortgage could affect your pension:
· You’re on a part-Age pension · You want to draw a large lump sum; or · You intend to ‘gift’ money to family
Now this is really important, because if you get it wrong: – it can cut your Age Pension entitlements. – reduce your retirement income. – cause financial stress.
So what’s the answer?
Well, I’m going to share the top THREE actions you can take to minimise risk.
AND I’ve got a special FREE offer too…
Thanks for watching & bye for now.
Hi, I’m Andrew Cate.
I’m the NSW Reverse Mortgage broker with Seniors First.
Today’s lesson is: ‘how to minimise interest cost on a Reverse Mortgage loan.”
I’ve helped over 400 seniors obtain a reverse mortgage.
And if there’s ONE topic that people always want to talk about, it’s ‘compounding interest’.
To recap: Reverse Mortgage borrowers are not required to make regular repayments.
The debt, plus any accumulated interest and fees is paid when the property is sold.
What does this mean? Well the monthly interest charge will be ‘capitalised’ each month – added onto the loan – so that over time, you will pay ‘interest on interest’.
Now this ‘compounding interest effect’ may be especially important, if: – you’re drawing a large lump sum. – you want to preserve home equity for children. – you need to pay aged care costs in the future.
SOLUTION: I’ll now share THREE ways you can reduce the interest cost on a Reverse Mortgage loan.
I’ve also got a special FREE offer for you…
Follow the instructions on screen to claim it now. Thanks for watching & bye for now.