The reverse mortgage loan is designed to be useful to seniors over the age of sixty two. Often, the reverse mortgage is taken out by couples entering retirement who are trying to figure out how to afford an active lifestyle together despite a decrease in income after leaving their jobs. However, it may be more likely than women will be more active in getting a reverse mortgage loan than their male partners will be.
There are several reasons that a woman may be more inclined to get a reverse mortgage than a man may be. These reasons include:
- Women usually live longer than men. This means they will outlive their partners and need to find a way to continue paying expenses which may even include the funeral costs for the spouse. This results in a need for emergency funding which can come from the reverse mortgage loan.
- Retiring women typically have less access to retirement income than men do. Men have traditionally been better at setting up savings accounts, 401K plans and stocks. This is changing but the current generation continues to favor the male income after retirement.
- Women may be more inclined to make plans that benefit the whole family. The reverse mortgage loan can pay for the elderly woman to live along, relieving her family of the burden of having to care for her. Whole-family thinking is more common among women than men.
Men and couples certainly take an interested in the reverse mortgage today but the elderly female may be the most likely candidate for a reverse home mortgage loan.
Question of the Day: Are women more likely to look into reverse mortgage loans than their male counterparts are?
