Income source

I recently attended the National Reverse Mortgage Lenders Association annual meeting in Boston, Massachusetts. The were a number of lectures on the use of reverse mortgages as part of a retirement plan. Social security was originally designed to supplement retirement income from a pension and also one's personal savings. Today, many seniors rely on social security as their only source of income. Many seniors have accumulated considerable equity in their home. A reverse mortgage can be used to tap into this equity to create a line of credit to offset the drawing of retirement funds or as a means of creating an income stream with regular monthly payments to you. These can be for as long as you live in the home (tenure) or they can be for a specific number of years if you need a bigger check each month (term). There are no payments that you are required to make for the reverse mortgage, but you are responsible for paying your property taxes, homeowner's insurance and for keeping the home in good repair.