Living from paycheck-to-paycheck for aging Americans leaves little-to-no room to make necessary changes in your routine expenses, particularly in creating a dedicated budget for home remodeling or repairs.
The elderly population often lives in homes that are wearing down through time as well. While some renovations can bump down to the lower end of your financial priorities, other upgrades are necessary.
Many avoid making the right updates due to financial restrictions, but the good news is that there are reverse mortgage loan options available to help senior citizens make home improvements.
What is a Reverse Mortgage?
Homeowners who are 62 years old and older can borrow money by using the house as the loan’s security. The payment takes effect once the principal residence moves out of the home, usually by selling the property. In the meantime, elderly homeowners can cover for the following repairs or renovations after receiving their reverse mortgage:
- Roof Repairs. One of the most critical repairs any homeowner should make, any signs of wear-and-tear should be addressed since it can lead to costlier damages that can put its inhabitants at risk. Replacing a leaky roof, for example, can quickly burn holes in pockets as it costs between $9,000 to $10,000. While roofs are designed to last for years, obtaining a reverse mortgage allows you to cover for its replacement once the roof’s lifespan reaches its end.
- Kitchen Improvements. The kitchen is the heart of the home that sees the most action, so it makes sense that installing improvements can ease the living experience for senior homeowners. Switching old appliances with smart, energy-efficient appliances can help shave the burden on their shoulders by cutting back on the electricity bill.
- Furnace Replacement. Furnaces are essential features in any home as it is responsible for keeping the space warm and comfortable, especially during the colder months. Leaving any problems unchecked can compromise your senior’s health and comfort, especially when they have old, worn-out furnaces that are only 60 to 65 percent efficient. By replacing the furnace with newer models, it can guarantee 95 percent efficiency, which can shave down your utility bills for the long haul, all while offering better performance.
The Bottom Line: Exploring Different Home Upgrades to Make After Receiving Your Reverse Mortgage
A reverse mortgage makes it possible for the elderly population to make necessary repairs in their home, which may otherwise be too expensive for their fixed income. Whether it’s to address leak problems, HVAC troubles, or investing in upgrades to improve their home living experience, reverse mortgages are a financial solution for senior homeowners.
How Can Our Phoenix Mortgage Lender Help?
Setting aside a budget for your home repairs or upgrades can be expensive, but if you need emergency funds that can cover for the renovations you need, our expert loan officers can take the guesswork out of supplementing your income with our reverse mortgage.