Seniors are pitched the benefits of a reverse mortgage as a way to "unlock" the equity in their home and pay for a better lifestyle. If they take advantage of this option, what happens when they no longer live in the home and try to qualify for Medicaid?
For some homeowners, a reverse mortgage may be the best way to provide retirement income or pay off debts. However, seniors have other options that may make more sense than a reverse mortgage, depending on their goals and financial situation.
Reverse mortgages are becoming increasingly popular ways for seniors to increase their cash flow and cover costs. As with any financial strategy, it’s important to consider the benefits and drawbacks of this method for increasing retirement income.