Divorce among seniors, also known as “Grey Divorce”, is becoming increasingly common. When a couple decides to part ways later in life, such parting can become a complex and emotional process, especially when it comes to dividing assets such as the family home. However, Reverse Mortgages can help make the divorce process more amicable and financially feasible for both parties involved.
Here are a few ways in which a Reverse Mortgage Line of Credit (“LOC”) can help seniors have a more amicable divorce:
- A Reverse Mortgage allows one spouse, who is 62 years of age or older, to access a LOC based on the equity in their home. This can be a valuable resource for paying off the spouse who is choosing to leave the property, making the division of assets less contentious.
- The LOC from a Reverse Mortgage can also be used to cover other expenses related to the divorce, such as legal fees or moving costs. The LOC can help both parties maintain their financial stability during the transition period.
- By using a Reverse Mortgage to facilitate the division of assets, seniors 62 years of age or older can avoid the need to sell the family home and uproot their lives. This can be especially beneficial for older individuals who may be looking to age in place.
As the Grey Divorce trend continues to grow, seniors need to explore all options when it comes to dividing assets and moving forward with their lives.
For more information about the Reverse Mortgage loan program, please contact Michael Pankow, NMLS 220611, at (916) 296-7765.
