With the stock market getting volatile but the housing market still hot, reverse mortgages have become a more attractive tool for older Americans who need cash for retirement but want to stay in their homes, according to an article written by CNBC.com writer Andrew Osterland.
“This is still a great opportunity to consider a reverse mortgage,” said Wade Pfau, PhD, a principal and advisor with Tysons, Virginia-based McLean Asset Management. “There’s been a big increase in housing prices, and interest rates are still low historically speaking.”
Osterland adds that reverse mortgages have developed a strong following in the financial planning profession, with advisors like Pfau recommending them as a potentially useful option in retirement distribution management. Read the full article.