Those in the Generation X category could be eligible for a Home Equity Conversion Mortgage loan as early as 2021. While baby boomers have had solid options with reverse mortgages, there may be some tweaks necessary for the incoming Gen X members.
"Economically, Generation X is also the first to have a lower economic standing than that of their parents, according to a recent study conducted by Hometap," according to Reverse Mortgage Daily.
"Much of this extends from the fact that the 65.8 million Gen X’ers in the workforce as of 2018 found themselves hit hardest by the onslaught of the 2008 financial crisis, according to Pew research cited in the Hometap study."
According to the report, Sherry Apanay, Chief Development Officer at Finance of America Reverse believes there should be a conversation shift. Apanay suggests looking at reverse mortgages as sound financial options, rather than last resorts for borrowers.
"I’ve seen an evolution of the ‘common reverse mortgage borrower’ develop over the past several years and I can tell you, we are seeing much more financial knowledge, diversity and an eagerness to learn more," Apanay said, according to RMD.
"I believe people want to be educated and empowered to make smart financial decisions for their retirement. This is why FAR has such a high-level commitment to education and why I personally moved from Sales to Development over the past couple of years."
To learn more about possible changes necessary to the reverse mortgage program as Generation X becomes eligible, click on the image above.