09/03/2024
When “Closing costs are too high” is an Objection in Reverse Mortgages
In the world of reverse mortgages, cost can often be a sticking point for homeowners. But is it really just about the dollars and cents? Often, the real issue lies in a misunderstanding of the loan’s benefits and how it can transform a homeowner’s financial future.
Here’s how to overcome those pricing objections:
1. Real-Life Impact: Show homeowners the tangible benefits. For example, eliminating a $1,750/month mortgage payment could free up $21,000 in just one year. What could that do for their lifestyle? Cashflow in retirement is king!
2. Long-Term Care: Address the elephant in the room. With 4 out of 5 people over 65 needing long-term care, a reverse mortgage could help safeguard their finances by providing extra cash flow or a growing line of credit.
3. Reverse Mortgage Line of Credit: Illustrate the growth potential. A HECM line of credit starting at $200,000 could grow to $358,000 in ten years, providing significant financial security for anything from paying for: property taxes, insurance, health care supplies, caregivers, home repairs, and even for purchasing a new vehicle.
When the benefits outweigh the costs, the senior always wins! Contact me for a quick quote for yourself or a client!