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Old 19-10-2021, 03:11 AM
Renato1 (Renato)
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Renato1 is offline
 
Join Date: Mar 2014
Location: Frankston South
Posts: 1,263
Quote:
Originally Posted by raymo View Post
Renato, I think you misunderstand how it works. The financial provider will
get the house valued, and if you are happy with the valuation, immediately
pay you that amount minus the costs involved in setting it up. You then
live there for the rest of your life. When you die the financial provider becomes the owner of the house. Your heirs will only get what cash and
other assets remain, such as cars, furniture, etc.
raymo
Hi Raymo,
It becomes obvious there are different schemes around.
I was thinking of this reverse mortgage where the house is still owned by the owner.
https://www.investopedia.com/mortgage/reverse-mortgage/

The article does mention scams though, and that it can be expensive - they'd want extra interest, especially as they aren't getting cashflow and are taking the risk that the house value might drop. Amd I keep remembering foreclosure scams, where a select few mates get invited to the "auction" in a pub somewhere, and the house is sold to one of the mates far below market price.

Cheers,
Renato

Last edited by Renato1; 19-10-2021 at 03:22 AM.
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