A tragic angle involving financially-distressed home borrowers involves the plight of seniors facing foreclosure.  Our Team has several elderly clients facing tough times financially here in Chicago, and we are working closely with them to avoid lender action.

Many in this particular demographic group have been in their home for years.  Most have paid off, or nearly paid off, their mortgages - some, many years ago.

But as their children grow up and often leave them alone, they often fell victims of unscrupulous lenders offering equity draw loans and money for day-to-day living expenses.   Trusting the pitches, many seniors are now left with high mortgage or HELOC payments once again - and they find it difficult, if not impossible, to pay.

Many have considered Reverse Mortgages, available to those over 62, for payoff of the old loan and some funds for living expenses.  But this equity-chomping option is not the best approach for many, and should not be exercised without careful thought.  For some, as well, the equity draw here won't be enough to correct earlier mortgage mistakes, and a short sale may be the only way out for these older borrowers.

Those seniors without sympathetic family nearby might face the greatest challenge - where to live if they lose their home, and have little money for a suitable housing substitution.

See our post today at BlogChicagoHomes.com for more info, as well as a link to Marilyn Kennedy Melia's article in the February 10th edition of The Chicago Tribune.

DEAN & DEAN'S TEAM CHICAGO