One of the biggest problems facing seniors today is that they are living long enough to require long-term care in or out of the home as they age and that they need to find a way to pay for this care. One of the leading ways to do so seems to be to obtain a reverse mortgage loan to assist with making long-term care payments either for care in the home or for care of one spouse outside of the home.
One report says that there are five major ways that seniors choose to fund their long-term care. These ways include long-term care insurance, personal savings and government assistance. And they also include the use of the reverse mortgage loan to come up with the money to pay those bills.
The one caveat to keep in mind is that the reverse mortgage borrower must remain in the home as the primary residence or the reverse mortgage may no longer be applicable and the funds borrowed may become due. This means that the long-term care financed by the reverse mortgage may require the individual to receive that care in the home.
Question of the Day: Is the reverse mortgage a good method of paying for long-term care?
