Great Piece in SmartMoney Today about the Reverse Mortgage Tax Implications

By
Mortgage and Lending with First Meridian Mortgage

Bill Bischoff wrote stoday in SmartMoney that the tax benefits of a Reverse Mortgage for the heirs of the borrower may be much greater than the costs of the loan. 

His summary of what a Reverse Mortgage is and how it works is very well-written and he wrote that a Reverse Mortgage can possibly cause the stepped-up tax basis to eliminate or reduce the capital gains tax that they may have to pay.

Here's a link to this short and excellent article: 

http://www.smartmoney.com/Personal-Finance/Taxes/would-a-reverse-mortgage-affect-my-taxes/

 

 

Comments (4)

Kathy Toth
Ann Arbor Market Center Keller Williams - Ann Arbor, MI
Ann Arbor Real Estate Experts - Kathy Toth Team

Michael, thanks for posting.

May 27, 2010 10:39 AM
Michael Pinter
First Meridian Mortgage - Brooklyn, NY

Kathy,

Thanks for the comment.

Michael Pinter

May 27, 2010 10:42 AM
Jon Zolsky, Daytona Beach, FL
Daytona Condo Realty, 386-405-4408 - Daytona Beach, FL
Buy Daytona condos for heavenly good prices

Michael,

That was an interesting read, thanks. I spoke to a few people I know about reverse mortgages, and they do not look at them very favourably, to my surprise. Of course, I can understand that it is not easy now with the values so low.

May 27, 2010 10:50 AM
Michael Pinter
First Meridian Mortgage - Brooklyn, NY

Jon,

Thanks for the comment. Unfortunately, the media has portrayed reverse mortgages very negatively and people like me as predators. The need for reverse mortgages has never been greater and the product will continue to do well. Feel free to subscibe to my blog.

Michael Pinter

May 28, 2010 01:52 AM

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