The Conservative Cave
Current Events => Economics => Topic started by: bijou on July 19, 2012, 01:10:55 PM
-
More than 1.5 million older Americans already have lost their homes, with millions more at risk as the national housing crisis takes its toll on those who are among the worst positioned to weather the storm, a new AARP report says.
Older African-Americans and Hispanics are the hardest hit.
"The Great Recession has been brutal for many older Americans," said Debra Whitman, AARP's policy chief. "This shows that home ownership doesn't guarantee financial security later in life." ...
http://www.cnbc.com/id/48240142
-
That is a shame and the AARP is there to screw you instead of help you with their high priced insurance plans and mutual funds. Seniors have taken a beating on crummy anunities and mutual funds that have the highest fees and the worst performance.
IMO, anyone that is in their 60's that has a mortgage is doing something terribly wrong. They should have zero debt. I betcha many of them have taken out second mortgages and thought the good times would never end.
-
I believe very little of what the AARP says these days.
They are deep in bed with the liberal agenda.
-
I believe very little of what the AARP says these days.
They are deep in bed with the liberal agenda.
Exactly. They backed ObamaCare even with the $500B cut to medicare, yet they are the first to attack the GOP with ads trying to scare old people.
-
Exactly. They backed ObamaCare even with the $500B cut to medicare, yet they are the first to attack the GOP with ads trying to scare old people.
In the future, all Medicare Advantage (supplemental) plans will not be allowed except in the state of Florida. AARP was instrumental in getting this exemption for FL. In it's place for the rest of us suckers in the US, we can purchase Medigap. Guess who sells more Medigap policies. If you guessed the AARP, you are right on target. This rotten organization will make a fortune if Obamacare stands.
-
IMO, anyone that is in their 60's that has a mortgage is doing something terribly wrong.
I don't know that I'd go that far, but I certainly wouldn't be buying a house in my 50's, that's for damned sure.
As it stands, my mortgage isn't over until I turn 70. However, I know damned well that when I have the debt from the divorce paid off, I'm doubling up on house payments so that I can 1--max out 401(k) within 2 years, 2--KEEP it maxxed out, including the over-50 "catch-up" provisions, 3--be debt free by age 60, 4--NOT have to tap into a reverse mortgage, 5--get to the point where daily bills are LESS than SS, meaning home equity, cash balance, and 401(k)/Roth funds are gravy.
Nobody have ever left me anything, and I want to ensure that should anything ever happen to me between now and 60, Scoobie and the kids aren't going to have to worry about how to get by.
-
A lot of older Americans are losing their homes because they can't afford the property taxes.
-
A lot of older Americans are losing their homes because they can't afford the property taxes.
And many can't sell them either.
Since I see the mortgage history when I do reports....I've been doing some lately where the homeowners been there for 20+ years. Many have borrowed against their houses because they've lost their jobs or they've become ill. Did a huge house last month that belonged to an attorney. First he had emergency open heart surgery, then he got colon cancer. His prognosis is good healthwise, but their house is being sold on "short sale".....
Also those with reverse mortgages? If the husband dies and the wife is under 62 (might be 65) she loses the house. Happened to a woman I work with. She's my age, husband was 80 when he died last summer. Bank told her she either had to get a new mortgage or lose the house. Fortunately she was able to sell it. Because she wasn't the right age, her name had to be removed from the deed when they did the reverse mortgage. Her husband had early Alzheimers's and somehow, he managed to either spend, dispose of , or something with his life insurance and all the stocks and bonds. So not only was she left devastated by his death, but also left in horrible financial shape. :(
-
The AARP has sucked the big one for a long time.
I'm glad our place is paid for; no mortgage. And we have no car payments, either. Property taxes keep going up while the value of our home goes down. But at least we're OK as long as we pay the damned property tax.
In Illinois, though, things look worse than in other states.
-
A lot of older Americans are losing their homes because they can't afford the property taxes.
Problem is, a lot of retirement homes are either in 55+ communities or are so small (2BR/1BA) that no family would be able to fit into one. That's a concern of mine if/when I retire. Sure, I can take the equity from this place and buy a couple of small places then, but I definitely want to stay out of the Leisure World type places because whoever gets the house has to either be able to live in it themselves or sell it quickly.
-
A lot of older Americans are losing their homes because they can't afford the property taxes.
I live in Louisiana where seniors taxes are frozen when they reach 65. Fill out a form at the courthouse and they can never go up. The property taxes on a $175k house runs around $500 per year. Alabama also has low property taxes and has many benefits for seniors.
-
I live in Louisiana where seniors taxes are frozen when they reach 65. Fill out a form at the courthouse and they can never go up. The property taxes on a $175k house runs around $500 per year. Alabama also has low property taxes and has many benefits for seniors.
I've heard that several states have enacted similar legislation.
-
And many can't sell them either.
Since I see the mortgage history when I do reports....I've been doing some lately where the homeowners been there for 20+ years. Many have borrowed against their houses because they've lost their jobs or they've become ill. Did a huge house last month that belonged to an attorney. First he had emergency open heart surgery, then he got colon cancer. His prognosis is good healthwise, but their house is being sold on "short sale".....
Also those with reverse mortgages? If the husband dies and the wife is under 62 (might be 65) she loses the house. Happened to a woman I work with. She's my age, husband was 80 when he died last summer. Bank told her she either had to get a new mortgage or lose the house. Fortunately she was able to sell it. Because she wasn't the right age, her name had to be removed from the deed when they did the reverse mortgage. Her husband had early Alzheimers's and somehow, he managed to either spend, dispose of , or something with his life insurance and all the stocks and bonds. So not only was she left devastated by his death, but also left in horrible financial shape. :(
How did they get around Texas law ?
-
How did they get around Texas law ?
Texas law?
I'm in TN. When the switched to the reverse mortgage, everything had to be switched to his name only. By TN law, the house could not have been sold without her signature, even if she wasn't on the deed or the mortgage. However, because she isn't 60 yet, she could not continue with the reverse mortgage. She had to either get a new mortgage (which she couldn't do on her own, especially since she can't collect his SS until she's 62) or sell the house. She was able to sell it before it was foreclosed.
-
Texas law?
I'm in TN. When the switched to the reverse mortgage, everything had to be switched to his name only. By TN law, the house could not have been sold without her signature, even if she wasn't on the deed or the mortgage. However, because she isn't 60 yet, she could not continue with the reverse mortgage. She had to either get a new mortgage (which she couldn't do on her own, especially since she can't collect his SS until she's 62) or sell the house. She was able to sell it before it was foreclosed.
My mistake, I thought you had said you were in Texas.
-
I don't know that I'd go that far, but I certainly wouldn't be buying a house in my 50's, that's for damned sure.
As it stands, my mortgage isn't over until I turn 70. However, I know damned well that when I have the debt from the divorce paid off, I'm doubling up on house payments so that I can 1--max out 401(k) within 2 years, 2--KEEP it maxxed out, including the over-50 "catch-up" provisions, 3--be debt free by age 60, 4--NOT have to tap into a reverse mortgage, 5--get to the point where daily bills are LESS than SS, meaning home equity, cash balance, and 401(k)/Roth funds are gravy.
Nobody have ever left me anything, and I want to ensure that should anything ever happen to me between now and 60, Scoobie and the kids aren't going to have to worry about how to get by.
True.
People find themselves in different life situations.
Years ago when my grandparents built their home piece by piece as they had the cash is much different then today. They would build the basement first, living it it while they tore down an old one room school house for lumber to build the main level. Then they would start with the additions to the home. They were self employed so were able to set their own schedule.