REVERSE MORTGAGES - Good or Bad?

[JLM]

What are the pros and cons?

 

[karrie]

bad. they're the most expensive way to borrow money against the equity of your home. If you have equity in your home, that should be collateral enough for a conventional loan, no need for these hinky, costly schemes.

 

[petros]

It's just another way that seniors are being bilked.

 

[Kreskin]

They are great if your sole income is OAS and you want to have a life rather than giving your house to your kids when you die.

 

[Walter]

They suck, big time.

 

[petros]

They are great if your sole income is OAS and you want to have a life rather than giving your house to your kids when you die.

If they were making more land it would be ideal to not give to the kids but nobody is making more land.

I was recently heir to a ****lode of land with the stipulation that it never leaves the family and as far as I'm concern same goes for our house in the city and cottage at the lake.

 

[karrie]

They are great if your sole income is OAS and you want to have a life rather than giving your house to your kids when you die.

What makes them preferable to conventional loans with lower interest rates?