Our Thoughts

Reverse Mortgages: When Home Is Where the Money Is

For those 62 years of age and older with significant equity in their homes, reverse mortgage lines of credit can be a valuable source of non-taxable income in retirement, allowing a retiree to (1) delay applying for Social Security benefits; (2) pay taxes due on Roth IRA conversions; (3) avoid higher Medicare Part B and Part D premiums; and (4) avoid withdrawals from an investment portfolio during sell offs in the equity markets.