Benefits of Downsizing with an HECM for Purchase
There are many factors to account for when considering retirement income. For example, you may need to save more early on or you may need to earn more after you have retired. Reducing costs is another important factor. Downsizing your home using an HECM for purchase is an attractive option for a number of seniors. This can help you eliminate your mortgage payment as well as reduce other expenses to improve your lifestyle during retirement.
To learn more about reverse mortgage requirements in Pennsylvania, California, and Florida and how an HECM for purchase could help reduce your cost of living in retirement, contact Citizens Lending Group online or by phone today.
How an HECM for Purchase Helps Save Money
One of the biggest and most obvious benefits to an HECM for purchase is the ability to purchase a new, more suitable home for your retirement while eliminating monthly mortgage payments. This alone can substantially reduce your monthly expenses during retirement. However, in addition to this, there are several other benefits that can come from using an HECM for purchasing a new home.
Reduce Heating and Cooling Costs
Many retired people opt to move from their current home to a new one because the house they raised a family in no longer suits their needs. An HECM for purchase can help people find a home in a milder climate in Florida or California, or one that is simply smaller in size. The improvement in weather and the decrease in square footage can help lower monthly energy bills to heat and cool your home.
Home upkeep, cleaning, maintenance, and lawn care costs are all usually related to the size of a home. The smaller your home, the smaller all of these costs typically are as well. Not only does an HECM for purchase give you access to home equity, it could help you lower your living expenses when you use it to buy a new home that has more affordable costs.
Lower Taxes and Insurance
Another factor related to reducing the size of your home or moving to an area with milder climate is the reduction in taxes and insurance costs that can come with buying a new home. While a reverse mortgage requires you to continue paying these costs, if you can reduce them you can have more disposable income. An HECM for purchase can help you make the transition from your current home to one that allows a more flexible lifestyle by way of lower taxes and homeowners insurance.
Reduced Overall Cost of Living
The types of communities that seniors often retire to tend to come with a lower overall cost of living. These neighborhoods are designed for people who want to enjoy life at a relaxed pace so the cost of restaurants, groceries, nightlife, and even housing can be lower. An HECM for purchase can help make the move to these types of communities possible.
Contact Us to Learn More About Using an HECM For Purchase
Many retirees living in Pennsylvania, California, and Florida are seeking to learn all about reverse mortgages in order to find ways to increase their quality of life. An HECM for purchase can be a great method for doing this by allowing you to buy a new home more suited to a simpler lifestyle as you age.
Contact Citizens Lending Group today to learn more about reverse mortgage requirements and if a reverse mortgage can help save you money on a home.