Dear Mia,
Just a note to say thank you for all you did to help me take a Reverse Mortgage. I am able to enjoy staying in my own home without financial worry. I am enjoying the same familiar surroundings, neighbors, and friends. This made my life extremely enjoyable. Many thanks to you for your wonderful help.
Lorraine - Seekonk, MA
Mia,
Thanks ever so much for introducing me to the reverse mortgage. It couldn't have come at a better time. The house was falling down around me. With the mortgage I was able to fix everything up once and for all. Even to getting new windows. Folks tell me how nice the house now looks.
I can also afford my car payments. Without the help I couldn't have made it on my own at my age. It's a pleasure to be able to live and afford the little extras in every day living and at the same time pay all my bills. I sure do appreciate having peace of mind in my old age.
Kay - Wakefield, RI
We received an invitation to an informational luncheon regarding Reverse Mortgages and we decided to attend. That was when we met Mia Florio. The information we received that day gave us much to think about. We discussed the possibility with our family. We still were uncertain and called Mia and asked to talk to her again. She came to our home and answered all our questions and after her visit my husband and I were very comfortable with the knowledge we gained about the process of the Reverse Mortgage.
Thanks to Mia Florio and her guidance, financial stability is assured through the Reverse Mortgage and our remaining years will be less stressful. Many thanks to you ,our dear friend.
M & R - Narragansett,RI
Saturday, April 4, 2009
Monday, March 30, 2009
Americans Over 60 Today's Economic State Worst Ever
Wanted to share this article from Metlife that I found.
AMERICANS OVER 60 TODAY’S ECONOMIC STATE WORST EVER
Metlife - September 20, 2008
When asked to compare the current economy to similar situations in the past, 53% of Americans over the age of 60 said today’s economic conditions are worse than those they have experienced in the past, even though unemployment and inflation rates have been higher within the last 30 years. A new poll from the MetLife Mature Market Institute®, conducted by Harris Interactive®, reports that an overwhelming majority of this group is feeling the pinch in today’s current economy and that it has affected the way they spend their money, but not their plans for retirement.
In Feeling the Economic Pinch: A MetLife Poll of Americans 60+, 87% of respondents said they are curtailing their spending; 70% are cutting back on essentials like food and transportation. Eighty-two percent are spending less on non-essentials like dining out and vacation. In addition, 17% report having had to provide more financial assistance to family and/or friends as a result of the current economy.
“There is no doubt that older Americans are being adversely affected by the current situation,” said Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute. “A closer look at the findings shows that women are tightening their spending habits more than men, and not surprisingly those who earn less are cutting back even more.
“While there have been serious economic downturns in the past, it is clear that this group of people over 60 feel particularly vulnerable during this time of their lives. Yet, it appears that they are not, at this point, changing their longer range retirement plans.” Of those who are working, 73% said they would not postpone their planned retirement date because of the current economy. Only 16% of all respondents are withdrawing or plan to withdraw more from their retirement funds than they originally planned.
Timmermann acknowledged it's a good sign that people are not panicking by withdrawing their retirement funds, but warned that a reassessment of finances and long term planning may be necessary since people can live 30 or more years in retirement.
“We discovered an increased appreciation of Social Security among one in five of the respondents. It is apparent from this data that, as a result of a volatile economy, many older Americans better understand the importance of guaranteed income,” said Timmermann. The MetLife Retirement Income Decisions Study: The Silent Generation Speaks, released in 2005, found that people in their 60s gravitate toward annuities and investments that provide lifetime income, of which Social Security is an example.
Ninety-two percent of those polled classify the current state of the economy as “headed for” or “in the midst of” a downturn and 50% predict the poor economy will linger for an additional 12 months or longer. Sixty-three percent of those polled hold Washington responsible. Democrats polled are far more negative about economic prospects compared to their Republican counterparts with 62% of the Democrats believing that the downturn will last more than 12 months, compared with 34% of Republicans.
Other findings include the following:
• With regard to increased fuel costs, a contributing factor in the economy, 60% of those polled are cutting back on auto transportation.
• More women have cut back on essentials than men (75% vs. 63%).
• Ninety-four percent of those who earn less than $35,000 a year have cut back on spending, compared to 72% of those who earn $75,000 or more a year.
• Twenty-three percent say they are currently taking more positive action over finances (i.e. reading more about finances, seeking help from a financial advisor).
• Fifty percent say what keeps them up at night is money-related.
AMERICANS OVER 60 TODAY’S ECONOMIC STATE WORST EVER
Metlife - September 20, 2008
When asked to compare the current economy to similar situations in the past, 53% of Americans over the age of 60 said today’s economic conditions are worse than those they have experienced in the past, even though unemployment and inflation rates have been higher within the last 30 years. A new poll from the MetLife Mature Market Institute®, conducted by Harris Interactive®, reports that an overwhelming majority of this group is feeling the pinch in today’s current economy and that it has affected the way they spend their money, but not their plans for retirement.
In Feeling the Economic Pinch: A MetLife Poll of Americans 60+, 87% of respondents said they are curtailing their spending; 70% are cutting back on essentials like food and transportation. Eighty-two percent are spending less on non-essentials like dining out and vacation. In addition, 17% report having had to provide more financial assistance to family and/or friends as a result of the current economy.
“There is no doubt that older Americans are being adversely affected by the current situation,” said Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute. “A closer look at the findings shows that women are tightening their spending habits more than men, and not surprisingly those who earn less are cutting back even more.
“While there have been serious economic downturns in the past, it is clear that this group of people over 60 feel particularly vulnerable during this time of their lives. Yet, it appears that they are not, at this point, changing their longer range retirement plans.” Of those who are working, 73% said they would not postpone their planned retirement date because of the current economy. Only 16% of all respondents are withdrawing or plan to withdraw more from their retirement funds than they originally planned.
Timmermann acknowledged it's a good sign that people are not panicking by withdrawing their retirement funds, but warned that a reassessment of finances and long term planning may be necessary since people can live 30 or more years in retirement.
“We discovered an increased appreciation of Social Security among one in five of the respondents. It is apparent from this data that, as a result of a volatile economy, many older Americans better understand the importance of guaranteed income,” said Timmermann. The MetLife Retirement Income Decisions Study: The Silent Generation Speaks, released in 2005, found that people in their 60s gravitate toward annuities and investments that provide lifetime income, of which Social Security is an example.
Ninety-two percent of those polled classify the current state of the economy as “headed for” or “in the midst of” a downturn and 50% predict the poor economy will linger for an additional 12 months or longer. Sixty-three percent of those polled hold Washington responsible. Democrats polled are far more negative about economic prospects compared to their Republican counterparts with 62% of the Democrats believing that the downturn will last more than 12 months, compared with 34% of Republicans.
Other findings include the following:
• With regard to increased fuel costs, a contributing factor in the economy, 60% of those polled are cutting back on auto transportation.
• More women have cut back on essentials than men (75% vs. 63%).
• Ninety-four percent of those who earn less than $35,000 a year have cut back on spending, compared to 72% of those who earn $75,000 or more a year.
• Twenty-three percent say they are currently taking more positive action over finances (i.e. reading more about finances, seeking help from a financial advisor).
• Fifty percent say what keeps them up at night is money-related.
AMERICANS OVER 60 TODAY’S ECONOMIC STATE WORST EVER
Metlife - September 20, 2008
When asked to compare the current economy to similar situations in the past, 53% of Americans over the age of 60 said today’s economic conditions are worse than those they have experienced in the past, even though unemployment and inflation rates have been higher within the last 30 years. A new poll from the MetLife Mature Market Institute®, conducted by Harris Interactive®, reports that an overwhelming majority of this group is feeling the pinch in today’s current economy and that it has affected the way they spend their money, but not their plans for retirement.
In Feeling the Economic Pinch: A MetLife Poll of Americans 60+, 87% of respondents said they are curtailing their spending; 70% are cutting back on essentials like food and transportation. Eighty-two percent are spending less on non-essentials like dining out and vacation. In addition, 17% report having had to provide more financial assistance to family and/or friends as a result of the current economy.
“There is no doubt that older Americans are being adversely affected by the current situation,” said Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute. “A closer look at the findings shows that women are tightening their spending habits more than men, and not surprisingly those who earn less are cutting back even more.
“While there have been serious economic downturns in the past, it is clear that this group of people over 60 feel particularly vulnerable during this time of their lives. Yet, it appears that they are not, at this point, changing their longer range retirement plans.” Of those who are working, 73% said they would not postpone their planned retirement date because of the current economy. Only 16% of all respondents are withdrawing or plan to withdraw more from their retirement funds than they originally planned.
Timmermann acknowledged it's a good sign that people are not panicking by withdrawing their retirement funds, but warned that a reassessment of finances and long term planning may be necessary since people can live 30 or more years in retirement.
“We discovered an increased appreciation of Social Security among one in five of the respondents. It is apparent from this data that, as a result of a volatile economy, many older Americans better understand the importance of guaranteed income,” said Timmermann. The MetLife Retirement Income Decisions Study: The Silent Generation Speaks, released in 2005, found that people in their 60s gravitate toward annuities and investments that provide lifetime income, of which Social Security is an example.
Ninety-two percent of those polled classify the current state of the economy as “headed for” or “in the midst of” a downturn and 50% predict the poor economy will linger for an additional 12 months or longer. Sixty-three percent of those polled hold Washington responsible. Democrats polled are far more negative about economic prospects compared to their Republican counterparts with 62% of the Democrats believing that the downturn will last more than 12 months, compared with 34% of Republicans.
Other findings include the following:
• With regard to increased fuel costs, a contributing factor in the economy, 60% of those polled are cutting back on auto transportation.
• More women have cut back on essentials than men (75% vs. 63%).
• Ninety-four percent of those who earn less than $35,000 a year have cut back on spending, compared to 72% of those who earn $75,000 or more a year.
• Twenty-three percent say they are currently taking more positive action over finances (i.e. reading more about finances, seeking help from a financial advisor).
• Fifty percent say what keeps them up at night is money-related.
AMERICANS OVER 60 TODAY’S ECONOMIC STATE WORST EVER
Metlife - September 20, 2008
When asked to compare the current economy to similar situations in the past, 53% of Americans over the age of 60 said today’s economic conditions are worse than those they have experienced in the past, even though unemployment and inflation rates have been higher within the last 30 years. A new poll from the MetLife Mature Market Institute®, conducted by Harris Interactive®, reports that an overwhelming majority of this group is feeling the pinch in today’s current economy and that it has affected the way they spend their money, but not their plans for retirement.
In Feeling the Economic Pinch: A MetLife Poll of Americans 60+, 87% of respondents said they are curtailing their spending; 70% are cutting back on essentials like food and transportation. Eighty-two percent are spending less on non-essentials like dining out and vacation. In addition, 17% report having had to provide more financial assistance to family and/or friends as a result of the current economy.
“There is no doubt that older Americans are being adversely affected by the current situation,” said Sandra Timmermann, Ed.D., director of the MetLife Mature Market Institute. “A closer look at the findings shows that women are tightening their spending habits more than men, and not surprisingly those who earn less are cutting back even more.
“While there have been serious economic downturns in the past, it is clear that this group of people over 60 feel particularly vulnerable during this time of their lives. Yet, it appears that they are not, at this point, changing their longer range retirement plans.” Of those who are working, 73% said they would not postpone their planned retirement date because of the current economy. Only 16% of all respondents are withdrawing or plan to withdraw more from their retirement funds than they originally planned.
Timmermann acknowledged it's a good sign that people are not panicking by withdrawing their retirement funds, but warned that a reassessment of finances and long term planning may be necessary since people can live 30 or more years in retirement.
“We discovered an increased appreciation of Social Security among one in five of the respondents. It is apparent from this data that, as a result of a volatile economy, many older Americans better understand the importance of guaranteed income,” said Timmermann. The MetLife Retirement Income Decisions Study: The Silent Generation Speaks, released in 2005, found that people in their 60s gravitate toward annuities and investments that provide lifetime income, of which Social Security is an example.
Ninety-two percent of those polled classify the current state of the economy as “headed for” or “in the midst of” a downturn and 50% predict the poor economy will linger for an additional 12 months or longer. Sixty-three percent of those polled hold Washington responsible. Democrats polled are far more negative about economic prospects compared to their Republican counterparts with 62% of the Democrats believing that the downturn will last more than 12 months, compared with 34% of Republicans.
Other findings include the following:
• With regard to increased fuel costs, a contributing factor in the economy, 60% of those polled are cutting back on auto transportation.
• More women have cut back on essentials than men (75% vs. 63%).
• Ninety-four percent of those who earn less than $35,000 a year have cut back on spending, compared to 72% of those who earn $75,000 or more a year.
• Twenty-three percent say they are currently taking more positive action over finances (i.e. reading more about finances, seeking help from a financial advisor).
• Fifty percent say what keeps them up at night is money-related.
Thursday, March 26, 2009
Reverse Basics
Well, I figured people were sick of hearing about the basics of a reverse mortgage but then a friend of mine asked me,"What exactly is a reverse mortgage?" So I guess I will explain it in basic terms.
An FHA insured reverse mortgage allows you to pull equity from your home. The amount allowed to you is based on your age, appraised value, and current interest rates. You must be 62 years of age or older and the property must be your primary residence. If you currently have a mortgage on your property the reverse mortgage would pay that off and whatever is left is yours. That supplements your income because you no longer have to make that monthly mortgage payment.
You can receive the money that is available to you a few different ways:
An FHA insured reverse mortgage allows you to pull equity from your home. The amount allowed to you is based on your age, appraised value, and current interest rates. You must be 62 years of age or older and the property must be your primary residence. If you currently have a mortgage on your property the reverse mortgage would pay that off and whatever is left is yours. That supplements your income because you no longer have to make that monthly mortgage payment.
You can receive the money that is available to you a few different ways:
- Lump Sum
- Line of Credit
- Monthly Payment
- Combination of the above
The most common way people take their money is a small lump sum and the rest in the line of credit. You can draw from that line anytime you want in any denomination. The nice thing about the line of credit is that whatever remains in the line is not getting charged interest and is not owed back. Also, it has a credit line growth rate so every year more money is added to the line.
The proceeds from a reverse mortgage can be used for anything you want. I have clients that take a lump sum and go buy a second home in Florida...now they have no payment on either property. You are still responsible for paying your property taxes and your homeowners insurance. These are tax free proceeds and it does not affect social security or medicare.
You always own the home, the bank never owns your home. It is a non recourse loan meaning that you never owe more than your home is worth. For example, if you received $600,000 over your lifetime from a reverse mortgage and at the time the house had to be sold it was only worth $500,000...the government "eats" that $100,000 difference. No one is ever personally responsible for this debt.
Some exciting news is that you can now use a reverse mortgage to purchase a house. Great for those of you that wish to down size or move closer to family and friends.
An FHA reverse mortgage is a fantastic financial tool that allows you to truly enjoy your senior years and stay in the home that you love without the fiancial stress.
If you have any questions or would like more information please email me at floriomia81@gmail.com or you can reach me at 401-451-1925.
Thanks for reading!
Mia
Monday, March 23, 2009
Move forward by going reverse!
I recently returned from the National Reverse Mortgage Lenders Association conference in Boston and I really enjoyed being able to dive into major topics facing the reverse mortgage industry.
As home values and stock prices plunged into the ground household wealth fell by a record $5.1 trillion from October to December of 2008, according to the Federal Reserve. Seniors are especially feeling this because the value in their IRA's and 401k's have been hit hard. This is forcing them to rely solely on Social Security income. 9.5% of people age 65 and older ar living at poverty level. The FHA reverse mortgage is a wonderful opportunity for some of these seniors and their families to improve their quality of life.
Unlike a regular mortgage, with a reverse all that matters is your age and appraised value. We don't care about your credit or your income which makes it very easy to qualify. When looking at all of the market dynamics affecting seniors today, an FHA insured reverse mortgage is one of the only viable financial tools available. A study done by AARP shows that 90% of seniors who took out a reverse mortgage said that it improved their quality of life.
Now is the time to make a decision to improve your life and get rid of the financial stress...Move forward by going reverse.
Mia
As home values and stock prices plunged into the ground household wealth fell by a record $5.1 trillion from October to December of 2008, according to the Federal Reserve. Seniors are especially feeling this because the value in their IRA's and 401k's have been hit hard. This is forcing them to rely solely on Social Security income. 9.5% of people age 65 and older ar living at poverty level. The FHA reverse mortgage is a wonderful opportunity for some of these seniors and their families to improve their quality of life.
Unlike a regular mortgage, with a reverse all that matters is your age and appraised value. We don't care about your credit or your income which makes it very easy to qualify. When looking at all of the market dynamics affecting seniors today, an FHA insured reverse mortgage is one of the only viable financial tools available. A study done by AARP shows that 90% of seniors who took out a reverse mortgage said that it improved their quality of life.
Now is the time to make a decision to improve your life and get rid of the financial stress...Move forward by going reverse.
Mia
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