3 Scenarios Show How Reverse Mortgages Can Simplify Divorce For Seniors
Since 1990, the divorce rate for Americans over the age of 50 has doubled. Reverse mortgages (a.k.a. Home Equity Conversion Mortgages (HECMs)) can play a very important role in meeting the economic concerns of retirement-aged couples who are divorcing, both to facilitate the division of a couple’s major assets and to optimize the assets that can be used for retirement income.
Insights from Reverse Mortgage Experts
In this article, our experts outline three scenarios in which reverse mortgages can simplify divorce for seniors. Stephen R. Sacks, Ph.D., Barry H. Sacks, Ph.D., J.D. and Mary Jo Lafaye, certified Home Equity Conversion Mortgage (HECM) Specialist and Manager with Retirement Funding Solutions use housing wealth to facilitate economic concerns in a “Silver Divorce.”
The 3 scenarios covered are:
1. Buyout Scenario with No Existing Mortgage
2. Asset Division with Existing Mortgage
3. Asset Division with Smaller Existing Mortgage