With a focus on Cash Flow Strategies pertaining to the senior market, it became obvious that Reverse Mortgages are and will become even more of a vital tool to help seniors of all financial profiles with their retirement income, long term care, and estate concerns and/or objectives.
Reverse Mortgages are the fastest growing segment of the mortgage market. Each of the last several years has seen the number of Reverse Mortgages consummated more than double that of the prior year. The market for Reverse Mortgages is expected to be in the growth stage for the remainder of the working career of most experienced financial professionals. This is in part due to what has been referred to as the “Aging of America.”.For example, for the first time in the history of America, there will be more people over the age of 60 than under the age of 30…and baby boomers will be turning 60 for the next twenty years!
Once only used by indigent seniors, today, more and more affluent seniors are also using Reverse Mortgages to improve their financial positions. While there is still a great misunderstanding about Reverse Mortgages, many advisors are learning how to use them to address their senior clients’ needs and desires. This is evidenced by the fact that each month more million dollar and larger Reverse Mortgages are being implemented by affluent seniors them in prior months.
A key indicator of why Reverse Mortgages are expected to continue to grow in popularity is illustrated by the most recent report released in 2005 by the National Council on the Aging and the Centers for Medicare and Medicaid, which noted that Reverse Mortgages can play a major role in helping seniors address their long term care needs and concerns.