Reverse mortgages can help senior citizens

It breaks my heart to think about our senior citizens who have to choose between groceries, medication or pet food because they live on a fixed income in an area where property taxes have grown so high. So many of these seniors live in houses that have appreciated substantially, yet they can't afford the taxes and utilities. I wonder how many seniors have heard of reverse mortgages?

A reverse mortgage lets homeowners (age 62 and older) borrow on their home's equity and never have to pay it back. The older the borrower, the greater the percentage of equity they can borrow. They can take monthly sums, annual sums, or use the mortgage as a line of credit as needed. Each month the balance of the mortgage increases with accrued interest, but the homeowner NEVER has to pay the principal or the interest.

When the homeowner dies, his/her heirs inherit the house with a mortgage owed. The longer the homeowner lives, the higher the mortgage becomes. However, there will still be a nice chunk of equity for the heirs when they inherit the property, especially considering the Flathead's real estate boom.

If you know a senior citizen on a fixed income who owns their own home, please do them a favor and help them check out this program, or call me at 862-5995 and I will share what information I have about reverse mortgages.

Our seniors deserve to live well and keep their own homes. Reverse mortgages let seniors stay in their own home and enjoy a better standard of living while still leaving an inheritance to their heirs. They really can have their cake and eat it, too.

Jerri L. Swenson

Whitefish