Reverse mortgage to help son build house?
Greetings Terry, what are your thoughts concerning reverse mortgages? I am 65 years old and would like to purchase a piece of land for my son to build his home. He’s a carpenter.
I am planning to sell my home, but I don’t want to take out a home equity loan to purchase the property.
Thank you.
Terry Says
A reverse mortgage doesn’t work in this situation. There are so many costs and fees in a RM that it only works if you plan to stay in your home for at least 10 years!
So, the next question is; if you have to purchase the land for your son to build his home, where will he get the capital to do the actual building, buy materials, etc??? Something is wrong with this plan. Your generosity is admirable. But you raised him to be a man. Now it’s HIS life. Don’t sacrifice yours.
Let him keep working until he has enough money to pay for his own land, and his own building materials, and the skilled labor (electricians, plumbers, etc) that he will need to do this. And if you are unhappy to tell him that, just sho9w him my answer!!
