Baby Boomer’s Looking for Equity
As a group, Baby Boomers have been relatively diligent about saving for retirement. However, traditional sources of retiree income such as Social Security benefits, pensions, and savings may not be as dependable as in the past. Fewer and fewer people are drawing pensions, and the future of Social Security remains up in the air.
That means that many will have to turn to alternative means to finance their retirement. One possibility is using the equity in their homes. If you are a Baby Boomer and looking for ways to utilize the equity in your home for retirement purposes, consider these ideas:
(1) Sell the house, downsize or rent something smaller.
(2) If you have the space, rent out rooms in your home.
(3) Secure a “reverse mortgage”. These loans provide a lump sum or fixed monthly payments to borrowers who are at least 62 years old, but ideally more than 70 years old. The downside is that these loans currently have high upfront costs and limited payouts.
(4) Get a fixed term, interest-only home equity line of credit.
(5) Create a private trust.
For more information, contact MillionSaverHomes.com who is local Las Vegas real estate broker at 702.212.3513
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