Client Stories
Maggie O'Connell, Reverse Mortgage Specialist
My work with older homeowners over the past fifteen years has been a treasured experience. Every one of my clients are special to me. I am pleased to be able to offer my expertise in real estate properties and knowledge of reverse mortgage loan programs to facilitate a smooth loan process and closing. I work hard to make it easy on my clients through the loan process. I would like to share some of their stories with you. Financial matters are very personal, therefore actual names are not used.
-Maggie
Mr. & Mrs. W. could hardly believe the home they paid $23,000 in 1962 was now worth $550,000. But they didn't feel rich. They are one couple of many who are "house-rich and cash poor". They were unable to keep up with general maintenance on their home which limited the property from appreciating even more. Also, they were living day to day struggling to pay their bills and spending money only on necessities. They funded a Home Equity Conversion Mortgage (HECM) that established a monthly income for the rest of their lives. They viewed their home as an investment that had matured. And they liked the idea that they could sell the home at any time, pay off the mortgage and have plenty of equity for future needs.
L & H have lived in their home over 35 years and had heard of reverse mortgages for some time. They were living on their retirement income that took care of their needs but did not allow for extras. Their plan was to use the money from the reverse mortgage to fix up their home and have a credit line available. We were getting close to the end of the loan process when Mr. H called me and asked what day funds would be available as he was ordering tickets to surprise his wife with a cruise to Alaska. A few months later I received a postcard with a picture of a cruise ship in Alaska with a message from the happy couple.
Betty loves her home, close local friends and wonderful neighbors in her neighborhood. But she was facing a decision because her savings had depleted and she was spending more than her monthly income, mainly because of payments she was making on an existing mortgage. She was considering selling her highly appreciated home and moving to a retirement community out of the area. It was upsetting for her to think of leaving her home where she was happy and comfortable. Just the thought of packing up her belongings was upsetting. Betty’s grandson did some research and presented her with options that included a reverse mortgage. After carefully looking at all of her options, she decided to get a reverse mortgage and was able to pay off her regular mortgage and eliminate mortgage payments completely. An added bonus was a lower interest rate on the new reverse mortgage loan. There were additional funds available to take care of much needed repairs on her home. Betty is not worrying about how to pay the bills now and feels proud of what she has done to protect her most valuable asset, her home.
Mary was in a very grave situation. She was about to lose her home through foreclosure. How she got into that situation is not of importance here. But how she got out was through a quick and coordinated effort from everyone involved in her reverse mortgage loan transaction. She was just two weeks from the scheduled sale date of her home by the foreclosing lender when she contacted us. We were able to pay off her existing mortgage just in time and she is able to live in her home for the rest of her life with no payments to make. After the close Mary said she went out and hugged her house. She said she would have been out in the street if not for the reverse mortgage.
Mr. and Mrs. Smith were doing fine living off their retirement funds. Then PG & E dividends stopped, interest rates on CD's kept dropping and stock funds were depleted. Their best investment turned out to be their home that had appreciated in value dramatically, especially in the last 5-6 years. They were able to supplement their income with a Home Equity Conversion Mortgage.
