concetta germain's (dedicated2seniors) Blog

Recent Reverse Mortgage Situation - Knowledge is everything

Fri, 14 Aug 2015 04:24:25 -0700

Several months ago, I downsized an elderly lady from her home to a retirement center. She mentioned her concern for her daughter who was almost 70. You see the daughter had taken a reverse mortgage many years ago, was ill and did not know what her options were. Like many seniors, she was misinformed by her friends and family members that if she took a reverse mortgage out, her home belongs to the bank. Nonsense!When I met with her, I asked how long she had had the reverse mortgage, what was the balance on her monthly statement. After doing the comparative market analysis on her home, and contacing her lender, we confirmed that there was equity. She was shocked to discover that she was going to receive almost $80,000 upon selling her home. Needless to say, I have gotten a transaction just by being the resource to my client's daughter.We all have heard the saying that "knowledge is power", more than anything, the USE of knowledge is power. I am now the children's hero, as they believed they would have been responsible for all of the new facility's costs for senior housing. If you are a child of an elderly client, and you have questions, please contact me. I love creating legal but creative solutions for my clients. And though I would primarily in the Riverside/San Bernardino counties, I am also open to working with clients in Orange County (where my main office is) and Los Angeles County. Happy downsizing!

Senior sells big home, buys small - no payments!

Fri, 31 Jul 2015 04:40:35 -0700

Email from one of my Reverse Mortgage guys: "A Realtor in Orange County recently turned straw in to gold by referring a baby boomer client to us for the use of our Reverse-Mortgage-for-Purchase Program. The customer was on the fence about listing her home until the Realtor explained that the Reverse-Mortgage-for-Purchase Program could increase her purchase power by more than double her net proceeds from the sale of her current home and eliminate her monthly mortgage payments. The client never dreamed this was possible and thought she’d have stay in place and continue to struggle making her mortgage payments. After the Realtor sold her current home, the same Realtor also represented her in buying her next home, resulting in 2 real estate commissions. The client only put down $295,000 of the $395,000 she had left over in net proceeds after the sale of her previous home. The Reverse-Mortgage-for-Purchase picked up the difference on a new $600,000 home, she retained $100,000 from the net proceeds of her previous home, and will never have a monthly mortgage payment for the rest of her life. That’s a Win-Win Situation! This client wouldn’t have listed her home if it wasn’t for the Realtor’s knowledge of the Reverse-Mortgage-for-Purchase program, and us meeting with the client and finishing off the game plan. If you have clients that either have enough cash in the bank and are renting, or enough net proceeds from the sale of a home that could be used as a down payment along with our Reverse-Mortgage-for-Purchase, please call or email us. It shouldn’t take more than a few minutes to find out all your clients options. We also provide traditional Reverse Mortgages as well for those that want to stay in their current home and enjoy a stress free retirement. If you have senior clients, friends or family, I can help. Concetta

Realtors Support Seniors in Downsizing Planning

Thu, 30 Jul 2015 07:58:43 -0700

If you are thinking of downsizing your parents, please locate an “SRES” - Senior Real Estate Specialist. The SRES certification class introduces real estate agents to the various elements involved when downsizing seniors/elders. Guess what guys. Age is not necessarily the main factor in downsizing your parents! The most important question you should ask is the following: Are my parents able to handle the ADL’s: the activities of daily living such as bathing, cooking, cleaning, and dressing? If you are doubtful, then it is time to start thinking of other possibilities for your parents! Begin the consultation with an “SRES” realtor This format keeps costs down because the Realtor gets paid from the commission agreed to for selling. Finally, be prepared for resistance from parents. Most seniors want to remain in their homes at all odds! But guess what folks? Once they become engaged at the “right” facility, suddenly they come to life, and they have to be reminded to call their friends and children!If you are in California and you are in Riverside, San Bernardino or Orange County, we would love to hear from you. Ask for Concetta at 951 208 9940.

Seniors should downsize, enjoy retirement facility while health is reasonably good!

Tue, 21 Jul 2015 13:54:12 -0700

More than 80% of all seniors own their own homes and most remain in their homes until they have to be forced out for medical reasons. Coming from a different era, many are concerned about saving the house for their kids. This is so unfortunate to see a senior live in a home that has become functionally obsolete. Here is an example: mom bought a house 30 years ago. She is now 85 years old and the house has not been repaired since she was in her 60’s. Only 250 sq ft of space is being utilized and the remaining 3000 sqft house is untouched, uncared for, and she is in a most uncomfortable situation.Besides that, she is unable to drive and her only outing is once a month when the bus comes by to pick her up to get her medication, a form of social isolation. It is said that social isolation has been proven to decrease health, and ultimately the quality of life and hasten death! Click here for more info. If the senior is in good health and is just somewhat incapable because of age, going to an Independent Facility where there are organized outings, community gardens and the like could work wonders for your parents. California, Florida and a few other states have excellent retirement programs for seniors. Most kids don’t want to live in the home that their parents owned. So, please inform your parents that is the case, so they don’t feel guilty and encourage your parents to enjoy life. More than likely, there will still be remaining funds after they are long gone.You can always contact the 55Plus Real Estate and Relocation Team at 951 208 9940 for information about downsizing your family in Southern California.Check out some active seniors living it up the Michael Jackson way!Moving to Billy JeanDedicated2Seniors! Call me at 951 208 9940 for questions.

Seniors: Creative ways to downsize and create your own support system

Thu, 16 Jul 2015 15:00:31 -0700

Recently I blogged about using a Reverse Purchase Mortgage to downsize into a smaller home for seniors above 62 with no payment ever! What if two seniors above the age of 62 want to sell their current home and downsize into a smaller home and live together? Is it possible to use a Reverse Mortgage in this situation? Absolutely. Here is how it would work: Senior 1 and Senior 2 both own homes that are paid off and can be sold for $500,000 each.

Senior 1 $500,000 House Value $100,000 Down Payment on Reverse Purchase $400,000 Profit (minus expenses)

Senior 2 $500,000 House Value $100,000 Down Payment on Reverse Purchase$400,000 Profit (minus expenses)

Instead of one senior bearing the total down payment of $200,000, partnering allows them to split the expense and increase their proceeds from the sale of their homes that can now be used for medical and other items.Each would sell their home for $500,000 put down $100,000 as down payment towards the Reverse Purchase of their newer, smaller home, with gross profit of $400,000 each. There would be no mortgage payment for life and seniors would be able to support each other at home with enough funds ($400,000 each) for some home care support. This is another opportunity for your clients/family members to downsize strategically!Contact Concetta Germain, Realtor, MBa, Veteran and Senior Real Estate Specialist at 951 208 9940 with any questions you may have.

Seniors: Downsize your home without payments?

Tue, 14 Jul 2015 14:14:12 -0700

If you are 62Plus, you more than likely qualify for the Reverse Purchase Program. Without giving a long explanation, I will give you an example of how it works. Currently your home value is $500,000. You have lived there for 30 years but it is too big for you now. At 2800 square feet, you wish to downsize to 1200 square feet but you don't want to increase your expenses. What should you do?Consider a Reverse Mortgage...ah, not really, a Reverse Purchase! That's right a Reverse Mortgage purchase. Example, $500,000 value of your home - $175,000, down payment for new home. Net profit $325,000. Sell your current house for $500,000. Buy a new home for $350,000 put a down payment of $175,000 and save the remainder of your funds for health costs! You will have no payments for the reset of your life, your tax base would be based on your old home (most counties in California), and you now have a total profit in hand of $325,000 with NO MORTGAGE PAYMENT! If at any time you wanted to payoff this reverse mortgage, either you or your children can Of course if the value increased, you may owe nothing! Wow! There is more good news, but I will save it for next time!Contact Concetta at 951 208 9940 with any questions you may have. This is a fantastic program!