Nearly a quarter of workers stated in a recent survey that they and their spouse have a combined total of less than $1,000 set aside for retirement. This is according to a recent report from the Employee Benefit Research Institute.
Approximately 55 million American workers have jobs that do not sponsor 401(k)'s or pensions. This means that when it comes to saving, they are on their own. For younger workers, the option to begin aggressively putting money away for retirement may still be an option but those just a handful of years away from their post-working life are finding alternatives to the traditional savings accounts.
Reverse mortgages can serve as a powerful way for those 62 or older to catch up on retirement savings. A HECM or Home Equity Conversion Mortgage as they are popularly known, can eliminate monthly mortgage payments while providing supplemental cash in the form of a lump sum, line of credit or monthly payout.
Today, conventional conforming no-point 30-year fixed mortgage rates are averaging 4.125 percent while 15-year rates are near 3.25 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.