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There is a common misconception that a good credit score is a prerequisite for qualifying for a reverse mortgage. However, this is not entirely accurate. While your credit rating does play a role, it's not the sole—or even the most pivotal—factor determining your eligibility. In some cases, individuals with poor credit can still obtain a reverse mortgage, despite their credit challenges.
**Understanding Credit Requirements for Reverse Mortgages**
Contrary to popular belief, there isn't a specific credit score threshold for securing approval for a reverse mortgage. What holds more weight, in most cases, is your credit history, especially your payment patterns over the past two years.
**For Borrowers with Satisfactory Credit:**
- No instances of "major derogatory credit" on revolving accounts in the preceding 12 months.
- Timely payment of all housing-related expenses over the last year, with no more than two 30-day late payments within the past 24 months.
- On-time payments for all installment obligations within the last year, with no more than two 30-day late payments within the preceding 24 months.
The term "major derogatory credit," as defined by the Federal Housing Authority (FHA), encompasses payments made on revolving accounts (such as credit cards) that are more than 90 days overdue or three or more payments made over 60 days after the due date.
**Addressing Past Credit Issues**
Certain credit-related issues, even if they occurred more than two years ago, can impact your application:
- Delinquent federal non-tax debt
- Delinquent federal tax debt
- Delinquent FHA-insured mortgages
In the case of judgments against your record, resolution or payment prior to closing is required. If unresolved, you must demonstrate a valid payoff schedule and evidence of timely payments for the past three months. Collections and charge-off accounts don't necessarily need to be fully paid off or on a payment plan, but an explanatory letter for each is necessary.
**Navigating Tax Debt**
For those with delinquent federal, non-tax debt, eligibility is contingent on settling the debt. However, this type of debt might be deemed a mandatory obligation, allowing you to clear it using the proceeds from your reverse mortgage. If federal tax debt is owed, you might become eligible by paying it off before closing or having a valid payment agreement with the IRS and demonstrating timely payments for the previous three months.
**Dealing with Mortgage Delinquency**
If you're behind on your mortgage payments, you could still be considered for a reverse mortgage. Approval hinges on a comprehensive financial assessment undertaken by the lender as part of the application process. This assessment gauges your capacity and willingness to meet mortgage obligations. Applicants behind on mortgage payments must provide compelling reasons for their delinquency. The underwriter, factoring in these circumstances, will evaluate the financial assessment to make a determination.
Should you receive approval, clearing or addressing your existing mortgage debt is necessary to proceed with a reverse mortgage. Notably, FHA-insured debt is treated as a mandatory obligation, allowing reverse mortgage proceeds to be utilized for its payment during closing.
**Reverse Mortgages and Credit Reporting**
Most reverse mortgage lenders do not report to credit agencies due to the absence of ongoing payments.
**Income Requirements for Reverse Mortgages**
As part of the reverse mortgage application process, a financial assessment is conducted. This assessment aims to evaluate your capability to meet financial obligations and adhere to mortgage conditions. It encompasses aspects such as credit history, property charge payment history, and cash flow or residual income.
In conclusion, while credit history and rating are important factors in the reverse mortgage qualification process, they are not the sole determinants. A holistic assessment of your financial situation and obligations plays a pivotal role in determining your eligibility. Give yourself more options Find out if a reverse mortgage is right for you.
Discover a world of comfort, security, and joy with assisted living in Florida! This charming corner of paradise isnt just for vacations; its an idyllic place to relish the golden years of life. More and more seniors are embracing the opportunity to swap the demands of maintaining a home for the ease and companionship of Floridas thriving assisted living communities.Imagine a life where your time is spent pursuing hobbies, making new friends, and savoring gourmet meals, instead of aging in place and tackling house chores or worrying about home upkeep. Assisted living communities promise a stress-free lifestyle, where assistance is always available and your day-to-day needs are catered to with warmth and professionalism.Many Florida seniors are exploring this enriching lifestyle and the options regarding amenities, location, safety, and benefits of assisted living communities. Of course, understanding the costs of assisted living and strategizing how to best finance it is a primary concern for most seniors and their families.This comprehensive guide will help you navigate these waters and provide you with 8 of the best ways to pay for assisted living in Florida.The Cost of Assisted Living in FloridaAssisted living communities are designed to offer personal care support to seniors in a residential setting that feels like home. They provide levels of services covering everyday activities such as bathing, dressing, managing medications, preparing meals, and more.Like the diverse range of homes youve lived in houses, apartments, townhomes, and condos prices can vary based on size, location, amenities, and the surrounding area. The same applies to assisted living communities. Many are luxurious, offering a lifestyle reminiscent of a five-star resort complete with top-tier dining and amenities. Others offer a comfortable, upscale environment or more modestly-priced options for those who are more budget-conscious.Besides your living quarters, the services offered can also differ based on the specific needs of seniors. These can range from help with daily tasks and medication management to coordinating doctors appointments and more.Nationwide, the average cost of assisted living is around $4,500 per month, as reported by Genworth Financial. The 2023 average cost of assisted living in Florida is also about $4,500 per month. However, the cost of assisted living in Florida can fluctuate depending on the county, location, and specific community. High-end luxury communities can reach monthly costs from $10,000 to $15,000 and above. However, more budget-friendly options exist that come in below the average monthly price of $4,500.Knowing how to choose the best financial option and community for you or your senior loved one can seem overwhelming. At Florida Senior Consulting, this is all we do. We are passionate about helping you choose the community that is best for you now and in the future.8 Best Ways to Pay for Assisted LivingSecuring your comfort and peace during your golden years doesnt have to be a financial burden. In Florida, there are numerous approaches and tactics to make paying for assisted living an achievable reality. This guide will unveil the top 8 strategies to ensure you not only get the best out of your retirement housing, but also maximize the benefits each dollar can provide. Lets embark on this journey together to optimize your resources, allowing you to experience the tranquility and fulfillment you truly deserve in your retirement.1. Private PayPersonal SavingsPersonal savings serve as a valuable resource when planning for senior living and care. Over time, you may have built up a nest egg through savings accounts, investments, or other assets. These funds are a testament to your lifes work and a key to unlocking the comfort and care you deserve in your golden years. Recognizing the earning power of these savings in relation to the monthly costs of assisted living can be a source of empowerment. By understanding the dynamics of your personal wealth, you can confidently navigate toward a future that is not only sustainable, but also enriched with the highest quality of life.Retirement IncomeEmbrace the fruits of your diligence by leveraging your retirement income to cover assisted living or memory care costs. This could include funds from your 401(k), IRAs, or other retirement savings plans. Keep in mind, although there may be tax implications during withdrawals, it is all part of a well-strategized financial plan to ensure your comfort and care.Lets remember the benefits of Social Security, a familiar staple of retirement income. It exists to lend a hand in offsetting some of your living costs. As of 2021, on average, retired workers received about $1,500 per month from Social Security benefits. While it may not foot the entire bill for assisted living or memory care, every bit contributes to creating a more accessible and enjoyable retirement lifestyle. After all, every dollar is a stepping stone on your path to an enriching, carefree life.Budgeting and Financial ManagementEffective budgeting and financial management are key when using personal income to pay for senior care. This might involve tracking income and expenses, prioritizing needs, and minimizing non-essential costs.Seeking advice from a financial planner or elder law attorney can be beneficial, especially for complex situations. These professionals can help create a financial strategy tailored to your specific needs and circumstances, potentially helping your savings stretch further.In the next sections, well explore additional income sources and financial strategies that can help Florida seniors cover the costs of assisted living. 2. Leveraging Social Security Benefits for Assisted LivingSocial Security benefits, a lifeline for many American seniors, can be an important source of income when planning for assisted living or memory care costs. While Social Security does not have benefits specifically for assisted living, understanding how the benefits work and how to maximize them can be an invaluable asset to you when financing senior care.Social Security Benefits: A Helpful Boost for Assisted LivingThink of Social Security benefits as a beautiful reflection of your lifes work. Theyre based on your lifetime earnings and designed to supplement your income when you retire. Even though they may not have been specifically devised to cover the costs of assisted living or memory care, they undoubtedly play a significant role in reducing these expenses.Remember, while the average Social Security benefit around $1,500 per month in 2021 might not cover the entire cost of assisted living or memory care in Florida, it significantly lightens the load. Hence, exploring additional income sources or financial strategies becomes a necessity and an opportunity to craft a personalized and comprehensive plan for a worry-free future.Optimizing Your Social Security BenefitsConsider these exciting ways to make the most out of your Social Security benefits:Postponing Benefits: Did you know that if you hold off on receiving your Social Security benefits until after your full retirement age (FRA), you could increase your benefit by 8% per year up until age 70? Even though you can start receiving benefits as early as 62, waiting a few years could mean more monthly income!Claiming Spousal Benefits: If youre married, you have the unique opportunity to claim benefits based on your spouses work record. This could be especially beneficial if your spouse has higher lifetime earnings than you.Understanding the Earnings Test: If you claim Social Security benefits before your FRA while still working, your benefits might be temporarily reduced based on your earnings. Understanding this earnings test lets you strategically plan when to claim benefits.A professional advisor can illuminate these strategies and help determine your best path. After all, its about creating the most vibrant, care-free retirement lifestyle possible. 3. Embrace the Power of Pensions in Planning Your Assisted LivingPensions, a type of retirement benefit offering regular income, are akin to a treasure chest, continually providing you with valuable resources as you plan for your assisted living costs.By understanding how your pension works and how it can contribute to your care costs, you can design an effective financial plan that ensures your peace of mind.Exploring the World of PensionsDepending on your work history, various types of pensions might be available to you:Public Pensions: Generally offered to our valuable public servants, like teachers, police officers and other government workers.Private Pensions: Granted by private-sector employers, these pensions, although less common nowadays, can form a significant income source for those lucky enough to have them. Many Florida seniors have private pensions.Military Pensions: Specifically designed for veterans and their survivors, these pensions vary depending on factors like service duration and rank.Each type of pension comes with its unique set of rules and benefits, making it all the more important to grasp the specifics of your pension plan.How Pension Funds Contribute to Senior CareLets envision how your pension income can help shoulder the costs of assisted living or memory care. For example, suppose your pension provides $2,500 per month, and the cost of assisted living in Florida is $3,500. In that case, your pension already covers a substantial chunk of that cost.However, remember that your pension is just one piece of the puzzle. It may only cover some of your care costs, particularly if you require more expensive assistance like memory care. But, keep in mind you can combine your pension income with other various financing strategies.Maximizing Your Pension BenefitsMaximizing your pension benefits depends on the unique specifics of your pension plan. Some plans may present the option of a lump-sum payout, which can provide a more significant sum upfront but would eliminate the regular monthly payments.This is where a financial advisor becomes your trusted companion, helping you understand the best strategies for your situation and ensuring youre extracting the most value from your pension benefits.As we further explore financial strategies for assisted living, the upcoming sections will introduce other potential income sources, including long-term care insurance, veterans benefits, and more. These can all be pieces of your overall strategy. 4. Medicare and MedicaidMedicare Does Not Pay For Assisted Living ResidencesSeniors are often surprised to find that Medicare is almost no help with assisted living costs. Medicare does not pay for assisted living, although there are some limited benefits for short-term stays in Medicare-certified skilled nursing facilities.Medicaid Is Extremely Limited and Can Take YearsFor seniors over 65, Florida Medicaid is an extremely limited program. The senior must be in need of nursing-facility-level care and must not have more assets or income than the States low threshold. And, there is a waitlist that can take years to access the program, designed to help the frailest and neediest first. Expecting Medicaid to help with assisted living needs may not be the best option because of the complexity, uncertainty, and length of time required for accessing any benefits at all.In Florida, the program provides different types of assistance for long-term care, including Nursing Home/Institutional Medicaid, the Statewide Medicaid Managed Care (SMMC) Program, and Medicaid for Aged and Disabled (MEDS-AD). If you need more information about this subject for Nursing Home or Memory Care, contact us here. 5. Harnessing Veterans BenefitsIf youve served in the U.S. military, you may be blessed with extra resources to help finance assisted living or memory care. These resources are veterans benefits from the U.S. Department of Veterans Affairs (VA).The Aid & Attendance (A&A)Think of the A&A as a bonus added to your monthly pension. However, its important to note that eligibility for this assistance is a prerequisite. A veteran may qualify for A&A if:They need the aid of another person for everyday personal functions like bathing, feeding, dressing, and others.They are bedridden due to a disability, separate from any treatment or convalescence.They are in a nursing home due to mental or physical incapacity.They are blind or nearly blind with corrected visual acuity of 5/200 or less in both eyes.The Housebound BenefitSimilar to the A&A, the Housebound benefit is an additional amount to your monthly pension. Its designed for veterans who:Have a single permanent disability evaluated as 100% disabling and, due to such disability, are substantially confined to their immediate premises.Have a single permanent disability evaluated as 100% disabling and another disability or disabilities evaluated as 60% or more disabling.Veterans Benefits are Often OverlookedVeterans benefits are valuable, significantly alleviating the financial strain associated with assisted living and memory care. Its recommended to contact the VA directly or work with an informed advisor to fully comprehend your eligibility and the application process.Remember that veterans benefits extend to more than just the veterans themselves spouses and surviving spouses could also be eligible. So, its worth pursuing this avenue when strategizing financing assisted living or memory care if you think you might qualify.Heres a quick summary of the Aid & Attendance benefits eligibility and application process:Eligibility for Aid & Attendance Benefits:Service Requirement: The veteran must have served at least 90 active days of military service, with a minimum of 1 day during a wartime period. The discharge should not be dishonorable.Medical Necessity: The veteran or surviving spouse must require assistance with activities of daily living (ADLs).Financial Requirement: The veterans household should have unreimbursed and recurring income for medical expenses, including assisted living and home care fees.Application Process:This process involves submitting an application form (VA Form 21-2680) for increased pension due to regular aid and attendance needs. This form is submitted to the Pension Management Center (PMC) serving your state. Along with the form, medical evidence like a doctors report indicating the need for aid and attendance of another person should be provided.6. Using Long-Term Care Insurance for Assisted LivingSuppose you are fortunate enough to have an active, long-term care insurance policy. In that case, you certainly want to apply those benefits to help with the cost of your assisted living. About 7 million US residents have some type of long-term care insurance in place. Different policies and programs specify what the plans will and will not pay for and for how long. Many policies do not cover assisted living at all.Good long-term care insurance is like your personal safety net, designed to support you with long-term services and personal or custodial care. This insurance covers a spectrum of care options and services, including home care, assisted living, memory care, and nursing home facilities.What is Long-Term Care Insurance?Long-term care insurance is a specialized insurance policy that provides coverage for long-term care costs. Its important to remember that long-term care isnt just medical treatment, but also assistance with essential personal tasks or activities of daily living (ADLs). This insurance is a crucial pillar in planning your future healthcare needs, helping safeguard your savings and ensuring your financial independence.Newer policy programs have more options, including hybrid policies with some life insurance features. But the best time to buy a long-term care policy is when you are younger, because the older you are, the more expensive the premiums will be. Also, you need to read your policy well to understand the specific benefits and exclusions, such as pre-existing conditions. Benefits of Long-Term Care InsuranceWith long-term care insurance, you can cover the cost of care not usually covered by health insurance, Medicare, or Medicaid. Its a comprehensive plan covering home care, assisted living, adult daycare, respite care, hospice care, nursing homes, Alzheimers facilities, and even home modifications like stair lifts or ramps.Choosing a Long-Term Care Insurance PolicyWhen picking a long-term care insurance policy, know the daily or monthly benefit, duration, and inflation protection. These factors will influence the cost of your premiums and the amount of coverage you obtain.Special Considerations for Florida ResidentsFlorida residents should note that the cost of long-term care in Florida may exceed the national average a bit. Therefore, a higher daily or monthly benefit policy could be a smart move. Moreover, Floridas Long-Term Care Partnership Program offers some strategic advantages for Medicaid planning.Application and EligibilityThe application process for long-term care insurance might require you to answer some health-related questions and potentially undertake a physical examination. Insurance companies will consider your age, health, and the type of coverage you want when deciding the policy terms and costs.As with many things in life, the best time to get long-term care insurance is well before you need it. The younger you are, the cheaper it is. While traditional long-term care insurance is available to people ages 18-79, it is very expensive in your 70s. And as you get older, the odds of you having poor health conditions increases, and you might not qualify at all. If possible, get some long-term care insurance while you are healthy and in your 50s or 60s. 7. Life Insurance Policies and AnnuitiesLife insurance policies and annuities can be excellent tools in planning for long-term care, such as assisted living. Heres how you can leverage these financial assets to help offset these costs:Life InsuranceLife insurance policies can offer robust support in funding long-term care costs. Here are a few ways to use life insurance to your advantage:Accelerated Death Benefits (ADB): Certain life insurance policies come with an ADB clause, enabling policyholders to get an advance on their life insurance death benefit, tax-free, while they are still alive. This provision comes into play if the policyholder has a terminal illness or needs long-term care.Life Settlements: In a life settlement scenario, you sell your life insurance policy to a third party at its present value to generate immediate funds, which can then be utilized to pay for care.Viatical Settlements: Much like life settlements, viatical settlements involve selling your life insurance policy to a third party. These are primarily for individuals with a terminal illness and usually yield a higher payout than a regular life settlement.Conversion to Long-Term Care Policy: Some life insurance policies can be transformed into a long-term care policy, providing a financial cushion for care costs.AnnuitiesAn annuity is a financial product that you purchase upfront. In return, it provides you with regular payouts over a specified period of time. Here are different ways annuities can fund long-term care:Immediate Annuities: With immediate annuities, a single payment at the start ensures you start receiving payouts immediately. This can offer a steady income stream to cover care expenses.Deferred Annuities: In a deferred annuity, your initial payment is invested for a duration until you decide to kickstart the annuitization phase. At that point, you begin receiving payouts. Deferred annuities can be an effective way to plan for future long-term care requirements.Qualified Longevity Annuity Contracts (QLACs): A QLAC is a deferred income annuity that initiates payouts at a later age (up to age 85). This can be an essential source of income in later life when long-term care costs could be higher.Professional AdviceLeveraging life insurance policies and annuities for long-term care costs involves crucial financial decisions. Consulting with a financial advisor or insurance professional is highly recommended to ensure you understand all the implications and select the most beneficial course of action tailored to your specific circumstances. 8. Real Estate Options for Assisted Living PaymentsSuppose your senior loved one owns real estate. In that case, there are several options to help pay any assisted living expenses when they move to their new residence. The 3 main categories are selling, using the equity, or renting the property.Since we live in Florida, there is always an active real estate market. About 1,000 people a day move to Florida. Nationally, Florida cities rank at the top of the most popular cities to move to, including #1 Tampa, #2 Orlando, #6 Jacksonville, and #13 Miami.Selling Your Florida House for Assisted LivingSelling a seniors house is one of the most common ways to pay for assisted living. During the seniors lifetime, when they bought a new house, it was usually with the proceeds from the sale of the prior house. The same thought pattern is common here. Some advantages to selling your home are:You get a lump sum payment to pay any current medical bills and the cost of moving to your new assisted living community.You no longer have to maintain the home or make any mortgage or insurance payments.Proceeds from most home sales are tax-free.And with a strong Florida real estate market, quick closings and cash buyers are very common.Renting Your HouseRenting your house is another option. Your house becomes a monthly cash-generating asset to help pay assisted living expenses. The Florida rental market is traditionally strong, so this might be a good option for you. You will have to enlist a property manager, or helpful relative, to manage the property, handle repairs and collect the rent. One nice benefit is that you can leave the property to your loved ones in your will.On average, a 950-square-foot apartment in Sarasota will rent for $2,160. Of course, this price is higher when renting a larger home, with the median home rental cost in Sarasota being $3,200. This cost is 52% higher than the median for home rentals in the US. These numbers show that there is a chance to make a significant amount of money by putting your house or apartment up for rent.Overall, renting out your residence instead of putting it up for sale can be a smart choice for those who are willing and able to do so. It is an especially helpful strategy for those who are looking to earn extra monthly cash while keeping the asset in their family.Real Estate Loans for Assisted LivingWith a loan against your house, you can have the equity work for you. There are 2 common types of loan strategies used with assisted living funding:Bridge Loan and a SaleIf the seniors move to assisted living needs to be done quickly, there may not be enough time to sell the house first. However, it is simple to get a short-term bridge loan very quickly using the equity in the house. You can use this money for immediate needs. When the house sells, the bridge loan is paid off. And you can put the remainder of the sales proceeds into an account for future assisted living expenses. A HELOC and a RentalIf you decide to keep the seniors house for rental income, you can still get a lump sum of money with a home equity line of credit (HELOC). This gives you the advantage of:Getting a tax-free lump sum of cash.Using the rental income to pay back the HELOC and help with assisted living costs.Keeping the house in the family.Receiving the benefits of appreciation when the house increases in value.These decisions can be complicated and come with tax issues to consider. But, they are also very powerful and important. It is always wise to meet with a certified financial advisor, specifically one who specializes in working with seniors. A financial advisor can holistically assess your financial situation and help you make the most cost-effective decisions for how to pay for senior living. Unlocking the Inside Track Insider SecretsIts often said that we dont know what we dont know.Gaining access to the best financial strategies when exploring assisted living communities requires in-depth industry knowledge. Like any complex industry, some unique strategies and techniques are not readily apparent to outsiders.Certain communities may offer flexibility with initial fees, accept evidence of a future real estate closing, or provide leeway as you apply for veterans or other benefits. But how do you identify these communities and find these opportunities?Every senior and their family desires the best financial arrangement possible. However, navigating the assisted living marketplace can be a daunting task, with most people unsure about where to start or which questions to ask.Your Free, No-Strings-Attached Consultation with the ExpertsMaking decisions on funding assisted living can feel like a monumental task. Comparing communities, understanding financial commitments, and securing the best price and terms can be challenging.Allow us to lighten your load with a free, no-obligation consultation to help you secure the best financial terms when exploring assisted living communities. Plus, our assistance in helping you tour, choose, and move into your perfect senior living community comes at no cost to you!We are a Florida-based company with a specialized understanding of the Florida senior market. Navigating senior options can be puzzling, but its our sole focus.We assist seniors in identifying their optimal next steps and finding the most affordable path for their transition.Our team includes certified staff and licensed nurse advocates, backed by decades of experience in the field. Your senior living experience should be on your terms, and the choice should always be yours.Reach out to us, and we will answer all your questions and help you decide what is best for you or your senior loved one. For peace of mind, call (941) 661-6196 or visit us at FloridaSeniorConsulting.com.
8 Ways to Pay for Assisted Living in Denver ColoradoFiguring out how to pay for assisted living can be terrible, but its also unavoidable. A little preparation can go a long way. If you arent prepared to pay out of pocket, then you should probably reach out to our team of local experts who can help you explore in more detail the ways you can pay for Assisted Living.Eight Ways to Pay for Assisted living in DenverAt Stacy's Helping Hand, Inc we advise families with the following eight ways to cover the costs of assisted living in Denver:1.Plan Ahead and BudgetWhile this seems smart, most people do not put the money aside. Life can be hectic and unexpected. For those who are planning on the unexpected well ahead of time might also consider2.Long Term Care Insurance (LTCI)Long term care insurance is for the lucky few people whove prepared and put the money aside for the specific purpose of needing it for long term care in the future. While this is a great benefit to have built-in to your plans, the benefits vary dramatically from one plan to another. Payouts range from $50 to $300 a day and are contingent on meeting certain diagnoses. LCTI may not be an option due to policy requirements, but many people have another form of insurance that can be useful.3.Your Existing Life Insurance PolicyMany life insurance policies allow you to cash-in for accelerated benefits that you can use while you are still alive. Even for plans that dont have this option, you can transfer the plan to another policyholder that will offer cash out option. Your life insurance is like a deferred Annuity that you created a long time ago and forgot about, but if you didnt get life insurance when you were young, you can still get an4.Immediate AnnuityAnnuities can be pretty tricky business. You shouldnt consider one unless you are using the guidance of a financial advisor who is looking out for your best interests. In the case that an annuity isnt an option, many people can still5.Sell, Rent or Reverse Mortgage a HomeMany middle class Americans dont have much retirement savings to speak of, but they do own homes. Home ownership has been an especially valuable source of retirement savings for seniors in the Denver Metro area. As a result of appreciating home values and rising rent, seniors can sell, rent or reverse mortgage their homes to help pay for assisted living. If the need for money is more immediate and assets havent sold yet, people can get a6.Bridge LoanFor those who need cash now, but need time for their valuable assets to sell, such as their home, a bridge loan can help seniors pay for Assisted Living Facilities to fill the gap between when they need cash and when they have cash from their sale. For those who dont have as much cash or income, there are still options such as7.SSI/Medicaid/InnovAgeMedicare and regular Medicaid doesnt cover long term care such as Assisted Living, but if you dont have savings or assets, you can apply for a Home and Community Based Services (HCBS) waiver through Medicaid. In the Denver area, there is an organization that can help people who need Colorado-specific Medicaid through the government-backed non-profit InnovAge. You apply for Medicaid through the InnovAge program, and they handle your case. For more complicated cases or if you want someone to hold your hand through the process, a Medicaid specialist such as a local Colorado company, Helping Hands Consulting is a good idea.The typical Medicaid payout is $700/month but assistance goes as high as $2,250/month and supplements SSI and SSDI. Medicaid wont entirely cover the cost of Assisted Living, but it can make a large dent. Only some assisted living communities will accept Medicaid, and Medicaid beds are usually limited, but either way, seeking professional help throughout the Medicaid process can alleviate the stress and ensure that all the information is provided when the application is submitted.8.VA BenefitsVeterans benefits can be used to pay for residential care in a variety of situations. One set of benefits is available to those with service-related injuries or disabilities; another set of benefits, known as Aid and Attendance, is available to any veteran or surviving spouse whos disabled and whose income is below a certain limit.Receiving Medicaid and VA Benefits can be a tricky and time-consuming process. If you reach out to us today, we can help you navigate these complex systems and find you the right Assisted Living facility for your needs in the Denver Metro area.Finding the best Assisted Living community options for seniors is our specialty. If you have a question about Assisted Living in Denver CO metro area, give us a call at the number above.
Reverse mortgages can be a great way to invest in real estate for potential homebuyers who are 62 years and older. You will be able to borrow against the equity to get credit or a line from a lender to purchase your new home. In some cases repayment is only necessary if you or your heirs sell the property and often there are no monthly payments required on the loan.If youre still on the fence about reverse mortgages, or maybe you feel you just dont have all the information, dont worry. We have outlined a list of pros and cons about reverse mortgages to help you make an informed decision.Pros of Reverse MortgagesMeeting different financial obligations can be tough, especially monthly mortgage payments. The reverse mortgage can help one stay afloat in tough economic conditions. Here are some reverse mortgage pros you should know about.1. Can Help Secure Retirement for YouA reverse mortgage is a great option for any retirees that may not have a lot of investments or cash savings but have wealth built up in the form of the equity in their home. A reverse mortgage may be able to help you turn your real estate asset into cash or a line of credit. You can use this to cover your expenses during your retirement period.2. Can Still Stay at HomeUsually, you have to sell off your home if you want to liquefy the asset, but a reverse mortgage can help you stay in the home and receive cash as well. You dont have to downsize or move out with reverse mortgages. For the elderly, moving can be a nuisance as well, which is why getting to stay at home can be great.3. Can Pay Off Any Existing Home LoansIn many cases you dont have to completely pay off the home if you want to take out a reverse mortgage on your home. You can use the cash or line of credit you get to pay off any loans you have on the home. This can help you free up monthly money that you can use for other expenses.4. Protection in Case Balance Is More Than Homes ValueSince it is a loan advance, a reverse mortgage typically only needs to be paid off the loan when you or your heirs decide to sell the property. If the homes value ends up lower than the amount you received through the reverse mortgage, you will be protected. Home prices can fall, or the value of the neighborhood could go down. So in a worst-case scenario, (and in most cases) you dont have to worry about your heirs having to pay off the extra amount at all.Cons of Reverse MortgagesWhile there are numerous benefits to taking out a reverse mortgage, you should also be mindful that there are some cons too. Here are some risks that you should consider carefully before taking out a reverse mortgage.1. Risk of Losing Home Through ForeclosureOne common requirement of qualifying for a reverse mortgage is that the person applying for a reverse mortgage can afford the homeowners insurance, property taxes, HOA fee, and any other costs that come with owning the house. Homeowners also need to live in the house as a principal residence.Homeowners who dont pay all these expenses or dont live at the property are considered to have an increased risk of losing the home in a foreclosure.2. Can Impact Other Retirement PlansWhile reverse mortgages are typically not taxed since they dont count as income, they can still impact your access to other government plans such as Supplemental Security Income and Medicaid. You should make sure to discuss this with an expert to ensure your eligibility for these benefits isnt compromised.Should Homeowners Get a Reverse Mortgage?Reverse mortgages arent necessarily for everyone, but they can be incredibly helpful in the right situation. They are great for people whose homes are increasing considerably in value, or you if plan on staying in the home in the long run. You should also be able to cover the general costs for the house, which will require some kind of cash flow.Homeowners should weigh the reverse mortgage pros and cons heavily and consult with professionals before taking one out. Give yourself more options Find out if a reverse mortgage is right for you. Maria Casado Mortgage Loan Originator | NMLS #1913708 Reverse Loan Solutions Division of Amerifund Office: (805) 296-1470 Direct: (202) 812-3024 Email: email@example.com Website: www.reverseloansolutions.com
Professional Reverse Mortgage Lenders You Can Rely OnHere at Reverse Loan Solutions, we take pride in our experience as leading reverse mortgage lenders that allows us to provide tailored information and advice to our clients. This is something that we have been doing since 1993.Maria Casado is a Reverse Mortgage Specialist that takes a holistic approach in helping senior homeowners tap into their equity for greater financial freedom and peace of mind. Our goal is to help you fund your cash needs for now, throughout retirement while also preserving the most equity possible. If your home is not suitable we can look into rightsizing your home with a reverse for purchase. We can be reached at 305-707-5626, or you can send us an email through our online contact form. Our staff members have many years of experience in the reverse mortgage loan industry, and they would be happy to provide the personalized information that you need.About Maria CasadoMaria Casado graduated with a Bachelor of Arts degree in Economics from The George Washington University in 2005. She went on to pursue a career in photography until 2019 when she switched careers to become a Mortgage Loan Originator. Her recent interest in Reverse Mortgages brought her to Amerifund where her vision is to use her creative skills to help people reimagine retirement with greater fulfillment and peace of mind. Her passion project can be found at Golden Girl Mortgage on YouTube, created with the purpose of educating and empowering retirees on the power and possibilities of Reverse Mortgages. Give yourself more options Find out if a reverse mortgage is right for you