Bridge the Social Security Gap with a Reverse Mortgage

Did you know that the amount of your Social Security distributions depends on the age you start receiving them?

You can start receiving Social Security starting at age 62, but if you wait until age 70 you are eligible for a permanently higher amount. Once you start taking your distributions, the amount will adjust each year due to inflation, but it won’t jump up once you do hit 70. Those who wait receive an 8% compounded increase for every year they wait past age 62, up until age 70. 

For example, someone who turns 62 in 2024 could start his distributions this year at $1,672 per month. If he waits until 2029 when he’s 67, his distributions will be $2,564 per month. But if he waits until 70, he could receive $3,310 monthly for life starting in 2032.

That sounds great, but many people don't have the cash savings to hold off taking their Social Security for 8 years until they could take the larger distribution. With a reverse mortgage, you can take out monthly distributions to help bridge the gap in those in-between years.

Once you turn 70, you’ll be able to take the full distribution amount–over twice as much!--and won’t have to worry about making any payments on the house.

If you’re a homeowner in Minnesota and looking to secure your financial future, reach out! We can help you explore your options.