By proceeding, I agree that I understand the following disclosures:
I. How We Work in Washington. Based on your preferences, we provide you with information about one or more of our contracted senior living providers ("Participating Communities") and provide your Senior Living Care Information to Participating Communities. The Participating Communities may contact you directly regarding their services. APFM does not endorse or recommend any provider. It is your sole responsibility to select the appropriate care for yourself or your loved one. We work with both you and the Participating Communities in your search. We do not permit our Advisors to have an ownership interest in Participating Communities.
II. How We Are Paid. We do not charge you any fee – we are paid by the Participating Communities. Some Participating Communities pay us a percentage of the first month's standard rate for the rent and care services you select. We invoice these fees after the senior moves in.
III. When We Tour. APFM tours certain Participating Communities in Washington (typically more in metropolitan areas than in rural areas.) During the 12 month period prior to December 31, 2017, we toured 86.2% of Participating Communities with capacity for 20 or more residents.
IV. No Obligation or Commitment. You have no obligation to use or to continue to use our services. Because you pay no fee to us, you will never need to ask for a refund.
V. Complaints. Please contact our Family Feedback Line at (866) 584-7340 or
[email protected] to report any complaint. Consumers have many avenues to address a dispute with any referral service company, including the right to file a complaint with the Attorney General's office at: Consumer Protection Division, 800 5th Avenue, Ste. 2000, Seattle, 98104 or 800-551-4636.
VI. No Waiver of Your Rights. APFM does not (and may not) require or even ask consumers seeking senior housing or care services in Washington State to sign waivers of liability for losses of personal property or injury or to sign waivers of any rights established under law.I agree that: A.I authorize A Place For Mom ("APFM") to collect certain personal and contact detail information, as well as relevant health care information about me or from me about the senior family member or relative I am assisting ("Senior Living Care Information"). B.APFM may provide information to me electronically. My electronic signature on agreements and documents has the same effect as if I signed them in ink. C.APFM may send all communications to me electronically via e-mail or by access to an APFM web site. D.If I want a paper copy, I can print a copy of the Disclosures or download the Disclosures for my records. E.This E-Sign Acknowledgement and Authorization applies to these Disclosures and all future Disclosures related to APFM's services, unless I revoke my authorization. You may revoke this authorization in writing at any time (except where we have already disclosed information before receiving your revocation.) This authorization will expire after one year. F.You consent to APFM's reaching out to you using a phone system than can auto-dial numbers (we miss rotary phones, too!), but this consent is not required to use our service.
*If I am consenting on behalf of someone else, I have the proper authorization to do so. By clicking Get My Results, you agree to our
Privacy Policy. You also consent to receive calls and texts, which may be autodialed, from us and our customer communities. Your consent is not a condition to using our service. Please visit our
Terms of Use. for information about our privacy practices.
I have represented people who have done that and not in one case was the outcome good. Seniors who could no longer sustain living in their home and had to go to a facility, having spent what they received from the reverse mortgage and thus left with nothing for their care.
Costs and interest rates are high, I would look for a different alternative.
Sell the house, then use the proceeds to pay for care. Easy and simple.
This is an "it all depends" (see my note below), and is something, like LTC insurance and irrevocable trust to approach CAREFULLY and with expert advice. It is something that, if you go about it unknowingly, may have an enormous and "unfixable" cost.
My Dad was finding trying to maintain his house was getting to be too much for him, as he was the type that wanted to do things himself, but being in his mid 90's, he couldn't anymore. He loved having his caregivers but it was becoming quite expensive. At senior living he had a nice apartment for $5,000 per month. He had weekly housekeeping and linen service, meals in the restaurant style dining room, activities, cable TV for the first time ever (never had it at home), and if anything needed fixing he just dialed maintenance dept. Oh, he brought along one of his caregivers to help him from 7 a.m. to 1 p.m. This gave him a routine that needed.
Dad sold his house and used the equity for his apartment rent at senior living facility, and to pay for his morning caregiver. He put the vast amount from the sale into investments which helped his savings grow. No more worries about property taxes, utility bills, lawn mowing, shoveling snow in the driveway... he really liked having this freedom at his stage of life :)
In general, along with irrevocable trust, I don't like Reverse Mortgages. In general, along with a FEW things like LTC insurance I think you need really great advice. But I don't think we can blanket statement condemn then when they work so well for some. I have personal experience on this one.
When my boss's wife had passed, the RM wanted their money back immediately. He could no longer stay in the family home which he and the grown children had loved. He was forced to sell so the RM loan could be paid. It was within days after the funeral that he had to put the house up for sale.
Back then, RM wouldn't let the remaining spouse continue to live in the house, even if the spouse was able to maintain the cost of staying (which my boss could easily do). Thank goodness that rule no longer applies with today's reverse mortgages. If he was allowed to stay, the house would have grown in equity to give him funds for his own retirement.
Thus, read the fine print.
@ SouthernWaver
So very rare that I disagree with you, SouthernWaver. But here I do. Never say never. Read my post below. It worked marvelously well for my partner's mom when she was VERY house RICH and very CASH POOR. It allowed her to stay in her Carefree AZ home where she could have her bed by the window looking out at the little desert pool she created for wildlife, getting checked on daily for a few hours. She was thrilled. Partner was thrilled. And she got to die at home as she wished.
In general, along with irrevocable trust, I don't like Reverse Mortgages. In general, along with a FEW things like LTC insurance I think you need really great advice. But I don't think we can blanket statement condemn then when they work so well for some. I have personal experience on this one.
Would I tell others to do it? Yes, if there is no other option AND you take time to plan ahead for when the money runs out. Do realize that if you don't pay back the reverse mortgage before trying to sell, it will make the sales process much more complicated. I am so glad to be out from under the reverse mortgage but glad that it carried us through for four years.
This worked very well for my partner's mom who wanted to stay in her own home with her own visiting caregivers. She was able to do so by the amount monthly she was given and the amount she had saved added to her SS. She managed to die at home.
The home was eventually then sold by her son, and the mortgage loan for the reverse mortgage paid off (they generally have quite high interest). Essentially these are loans on the home.
The problem occurs often in THIS screnario:
1. Senior becomes way too ill to be home even with one on one caregiver (which requires more money than a reverse mortgage will give.
2. Senior leaves home to enter care.
3. Because Senior now has SS AND funds monthly for reverse mortgage she may be too high in monthly income to easily qualify for medicaid.
4. Now that the senior has left the home and cannot return the reverse mortgage "loan" is almost immediately called and due to be paid.
5. Home is sold; reverse mortgage loan is paid. Senior remains in care with remains of sale of home.
This as I said works for some and is a real bad choice for others.
You need to find out WHICH
And only an expert can help you decide.
Good luck.