Boston College for Retirement Research found through a recent study that many older Americans are deciding to work longer and put off retirement due to large debt, particularly caused by mortgages. For those Americans who cannot continue to work because of disability or health problems, experts say that reverse mortgages may be a financial lifesaver. Researchers, Barbara Butrica and Nadia Karamcheva said, “Americans’ indebtedness has increased dramatically since the 1980s—a trend likely to have important implications for retirement security, not only does the presence of debt influence older adults’ behavior, but so do the amount and type of debt—particularly outstanding mortgages.” According to experts the three main options senior Americans have to help decrease debt by mortgage are to sell the home, declare bankruptcy or apply for a reverse mortgage. More here
