Reverse Mortgages in West Michigan

Your Social Security Administration enters 2009

The Social Security Administration is becoming better at providing access to it's services to those of us who are on line.

Here's a link to services such as applying for social security, notifying them of change of address, and obtaining help with some Medicaid issues.

http://www.socialsecurity.gov/pubs/10121.html

Just copy the line above into your browser's address bar, press enter, and presto!, you'll be connected.

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Information on reverse mortgages in Western Michigan is even easier to get!  Just call me toll free at 877-308-1489.
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What happens when there isn't enough money?

Recently, USA TODAY published an article on the some of the effects that rising prices have on retired folks living on a fixed income.
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A reverse mortgage can provide senior homeowners with monthly income in addition to Social Security benefits.  Give me a toll free call at 877-308-1489 to find out how.
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Fixed Income Challenges

A Realtor in Orem Utah, Harry Rodas, ran across a problem with which many of us are all to familiar. 

He writes: "I was recently talking to a friend of mine who lives in my neighborhood. He and his wife are at retirement age and are living primarily off of social security. Their home is paid for with no mortgage on it. He was mentioning to me the need to re-shingle his roof and wondering how to pay for it. This friend of mine can live on social security except when large and unexpected repairs present themselves (like the roof). Living on such a fixed income can present a lot of challenges for senior citizens.

This issue is becoming a growing trend in Utah and around the nation. Seniors have different needs, issues and obstacles than any other segment of our society. That is one of the reasons that I decided to get the Seniors Real Estate Specialist (SRES) designation. It provides excellent training on issues unique to those in the 55+ age group.

My recommendation to my friend was to seriously consider a reverse mortgage. It is an excellent way for him (and others in a similar situation) to increase income without having to make any monthly payments on the loan. While I am fairly well versed on reverse mortgages, I always feel best when I turn to a mortgage expert. I asked my friend, Gaylon Ashby, ... to email me some information on reverse mortgages and I am including it below.

    "A reverse mortgage€”either Fannie Mae's€™s Home Keeper® Mortgage or a HUD insured Home Equity Conversion Mortgage (HECM)–enables eligible homeowners to access the money they have built up as equity in their homes. They are designed to strengthen seniors€™ financial independence by providing funds without a monthly payment during their lifetime in the home. Seniors who are 62 years of age or older, owe less than about 50% of the value of their home, and will be living in the home will generally qualify for a reverse mortgage. The income that comes from a reverse mortgage is tax-free. And, the income may be received as a monthly amount, lump sum, or a combination of the two. Additionally, you Don't€™t have to repay any part of the loan as long as you occupy your home, pay your taxes and hazard insurance, and maintain the property.

    When you leave your home permanently€”upon your death or when you move away€”your loan becomes due and payable. Your legal obligation to repay the loan can be no more than the market value of your home at the time you leave the property. So, the borrower (or his or her estate) will never owe more than the loan balance or the value of the property, whichever is less.

    Reverse Mortgages are a proven and safe way for seniors to decrease expense, increase income, or create a source of funds to help them during the years that many have to live on fixed incomes. They are highly regulated and require that individuals considering a reverse mortgage to attend a class to better understand the programs and decisions they may make."

Gaylon hit the nail on the head, and Harry gave his readers accurate information by checking with a reverse mortgage professional.

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If you have questions of any kind about reverse mortgages here in West Michigan, it would be my pleasure to provide you with accurate information.  Call toll free at 877-308-1489, or email me at j.noonan@comcast.net

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Medicare Part D

Formulary?  What's a formulary?

Well, technically, it's the word used by health insurance companies and others to describe a listing of the drugs for which they'll they approve payment.

Medicare Part D has a formulary, and in 2008 it's likely that a smaller number of drugs are going to appear on it than this year!

So says USA TODAY in an article on page 4B of the December 4th issue.

In a box accompanying the article USA TODAY predicts the percentage of covered drugs will drop anywhere from 11.3% on the low side to 31.0% on the high side.

Thse are BIG numbers!

But listen to what your government has to say about it: "most of those (removed) drugs were not used", says Jeff Kelman, chief medical officer for Medicare's Center for Beneficiary Choices.

Yeah, right!

Unless you need them!

My advice? Pick up the phone, call your Medicare provider and have them confirm to you that all the medicines you are taking now will be covered next year.

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For financial ease of mind in retirement, perhaps a reverse mortgage might work for you.  Call me at 1-877-308-1489 for a free analysis.

Social Security - 24/7 phone service

Vonda VanTil, our Western Michigan Social Security public affairs specialist, reminds us that Social Security has an automated 24 hour telephone service.

It allows you to get certain Social Security information, and to conduct business quickly, efficiently, easily, and whenever it is convenient for you.

All you need do is call 1-800-772-1213 at any time.

You can use it to order Social Security booklets, pamphlets, publications and informational material.

You can also ask for a Social Security card application (form SS-5) to be mailed to you, and even to request a replacement Medicare card be mailed to your address on record.

If you're already receiving benefits, you can use this number to change such things as your mailing address, and your direct deposit information.

Even better, if you call during their normal business hours (7 AM to 7 PM, Monday through Friday,) you still have the option to ask for a customer service representative for that personal touch.

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If you're a homeowner over 62, a reverse mortgage may be the perfect way to supplement your Social Security benefits. 

Collecting Social Security at 62 makes sense

Jon Newberry, writing in the Cincinnati Enquirer  provides a new take on when to take Social Security benefits!

Quoting the president of a local investment firm, he makes the case for filing for benefits at age 62.

I found the article quite interesting. But remember, you're always better off by picking up the phone and calling your local social security office for advice tailored to your specific circumstances.

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Reverse Mortgage proceeds are always tax free!

The older I get, the more I make!

The West Michigan Senior Times has a monthly column by Vonda Van Til, the public affairs specialist at the Grand Rapids Social Security Administration office.

This month she writes about increasing social security benefits by delaying retirement past your full retirement age.

"For example," she writes, "suppose you were born between 1943 and 1954.  Your full retirement age is 66."

"This means that if you start receiving benefits at age 66, you will get 100% of your monthly benefit."

"However, if you delay receiving retirement benefits until after your full retirement age, your monthly benefit continues to increase."

"As an example, the yearly rate of increase in Social Security benefits for anyone born after 1943 is 8 percent."

"This 8 percent increase compares favorably with current average interest earnings rates on bank savings accounts."

It's an interesting article and I'm sure Ms. Van Til or her associates in the national office would be happy to answer your questions on the subject.  The national office number is 800-772-1213, from 7AM to 7PM weekdays.

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A reverse mortgage can be the perfect supplement to your monthly social security benefit.  Call me at my Michigan toll free number (877-308-1489) with any questions as to how this can be structured.

Reverse Mortgages and Social Security

Vonda VanTil, the Social Security's public affairs specialist, has some interesting facts on Social Security "paydays" for those new to the system.

She mentions that generally the day you receive your benefit depends on the birthdate of the person on whose work record you receive benefits. 

So, if you're receiving benefits on your own work record, your benefit payment date will be determined by your own birthdate.

If you're receiving Social Security benefits as a spouse, then the benefit payment date is determined by your spouse's birthdate.

It works like this:

Birthdate on                                                                  Benefits paid every month on:

1st thru 10th                                                                 Second Wednesday

11th thru 20th                                                              Third Wednesday

21st thru 31st                                                               Fourth Wednesday

So, if your birthday is June 16th, your monthly retirement check will be paid on the third Wednesday of the month.

Because the third Wednesday might fall on a different date every month, Social Security has a calendar showing 2006 payment dates here.

Ms. Van Til can be contacted at the Social Security office in Grand Rapids: 50 College SE, Grand Rapids MI, 49503.  Social Security can be reached nationally at 800-772-1213.  Their special line for the hearing impaired is 800-325-0778

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Should you decide that a reverse mortgage is right for you, you don't have to be concerned about whether payments will affect your Social Security.

Generally, the money you receive from a reverse mortgage does not affect your Social Security. Of course, you should consult your financial advisor with any questions.