If Congress enacts these reforms reverse mortgages could go mainstream. Here’s why.
Two U.S. Senators are sponsoring a bill that touches the dreaded third rail of politics. Semafor News reports a bipartisan group led by Senators. Angus King, I-Maine, and Bill Cassidy, R-La. are considering gradually raising the retirement age to about 70 as part of their discussions to overhaul Social Security, Semafor has learned from two people briefed
on their efforts.
If such reforms were to come to pass those who had planned on drawing Social Security benefits at younger ages below 70 may have to look to their home’s value as a source of cash flow. Of course, this is not how anyone would want to see the widespread acceptance of reverse mortgages, but then again, necessity is the mother of innovation, and future retirees may have to get creative to secure a decent retirement.
Increasing the minimum age at which one may begin drawing benefits is not the only proposal on the table. Other options include…