It used to be that empty nesters were expected to downsize but according to a new survey, America’s seniors are expressing a strong desire to stay in their family home. The Housing Confidence Index, released by Chase and Pulsenomics, found that 52 percent of Baby Boomers intend to never move out of their current home.
Rather than relocating, 88 percent of respondents say they plan to make improvements to their current home. Nearly 66 percent of those polled said they think their home values will continue to rise, providing incentive for homeowners to age in place and utilize their home as a source of income.
Powerful financial tools like reverse mortgages allow exactly that. In addition to eliminating monthly mortgage payments, reverse mortgages can provide supplemental income in the form of a lump sum, monthly payout or a line of credit. This can provide those 62 or older with a pathway to stability and security in retirement.
Today, conventional conforming no-point 30-year fixed mortgage rates are averaging 4.375 percent, 15-year rates are near 3.875 percent and the 5-year ARM is averaging 4.375 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.