Reverse mortgages.
I’m Jake Posliff, and have been a resident of Vancouver island for 38 years, first coming here in 1986 as Manager, CIBC, on Commercial Street Nanaimo. I retired from banking in 2006, and have been a mortgage broker ever since. I’m 82 and have a total 65 years in the financial industry, 47 as a banker, and 18 as a broker. (We just celebrated our 60th wedding anniversary) In 2016, due to my wife Heather’s health , we sold our home of 25 years in Chartwell in Qualicum Beach, and moved to the Pacifica Condos in Nanaimo as renters. It’s a wonderful place to live, but do miss our house. We sold our house for about half the value it has now eight years later, If we were still there, we would jump at the opportunity to get a Reverse Mortgage, and use funds for investment, travel, helping our kids, and have no mortgage payments . But we missed that boat and you don’t have to miss it.
You’ll see advertising saying that if you’re 55 you can get up to 55% of your home value , but that’s not exactly the case. The amount is based on the age of the younger spouse. I did a reverse mortgage for a client, and friend, earlier this year. He is 81, and spouse was 76, and the amount worked out to 37% loan to value. But he and his spouse are very happy with the result.
There are now several banks/financial institutions granting reverse mortgages and I represent them all and follow them regularly for their current rates and fees. The rates have been coming down , and we expect a further decline later in the year and into early 2025. All reverse mortgages have set up fees, in the $1800/2,000 range, which incudes appraisal and other costs. From time to time they have specials that waive the setup fees, and I am in a position to advise my clients of those opportunities.
You can apply directly to the lenders, but by using my services I can assure you the best products for your personal circumstances, and also discuss the pros and cons of reverse mortgages with you, based on my experience, and being in the same demographic.
I also do commercial mortgages, and regular residential mortgages, but am increasingly turning my focus to the Reverse Mortgages for which product , in my view “The Time has Come”.