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    Email: joe@joemetzler.com

  • Mortgages in Retirement

  • Minneapolis, MN: Retirement can be scary if you are worried about money. Survey’s show a major reason for not being able to retire is still having a mortgage payment.

    We see two primary attitudes towards retiring with or without a mortgage.Retire without a mortgage

    The first being aggressive with paying the mortgage off while you are still in your earning years. Depending on your remaining balance, current loan interest, and a few other factors, this may mean just making bigger additional payments on the current loan, or refinancing into a shorter term loan, like a 10-year or 15-year fixed at a much lower interest rate.

    For others, the ability to completely pay the loan off is not achievable. For many of these people, another tool is to refinance into a new 30-year loan, Stretching the loan back out can seriously lower you monthly payments.

    Refinancing into a Reverse Mortgage is another option. Depending on your age, and equity in the current home, you may be able to either have no mortgage payment, or even get cash out of your home and still have no payment.

    Finally, selling your existing home and downsizing to a smaller house – hopefully with no payment at all is always something to look at. Especially if it is somewhere a little further south than here in Minnesota ! 🙂