Are you a retiree living in Newport Beach? Are you looking for additional tools to strengthen your retirement portfolio and cash flow?

If the answer is yes, it might be time to think about a reverse mortgage.

More and more homeowners are using a reverse mortgage to help them pay for daily living expenses as they age.

In just the last 12 months, a total of 1023 reverse mortgages were closed in Orange County. And that number is only going up.

An important factor to consider, if you’re thinking about a reverse mortgage, is the higher-than-average property value in Newport Beach.

While prices are going up everywhere, Newport Beach stands out, with the median listing price for homes currently sitting at about $3 million. 

Of course, this is not surprising. Newport Beach has always attracted large numbers of people who want to enjoy surfing, shopping, and all the pursuits that the area has to offer.

The desirability of Newport Beach goes all the way back to 1888, when James and Robert McFadden first built a wharf on the oceanfront and began doing business there.

If your home has a high property value like many others in the area, this opens up some unique opportunities for you.

One of the possibilities is a jumbo reverse mortgage.

What Is a Jumbo Reverse Mortgage?

Traditionally, a reverse mortgage allows you to convert your home’s equity into cash. In most cases, you receive a monthly payment to be used for living expenses. The money doesn’t have to be paid back until your home is sold.

Recently, the FHS (Federal Housing Authority) capped the maximum amount you can borrow at $822,375. This limit can prevent you from enjoying the full benefit of a reverse mortgage on a high-value home.

A jumbo reverse mortgage is a great option in this case. This product allows you to borrow up to $4 million against the value of your home.

Unlike traditional reverse mortgages, this type of loan is not guaranteed by the FHA. However, most lenders ensure that there are protections in place. In most cases, jumbo reverse mortgages are considered “non-recourse” loans, meaning that you don’t have to pay the difference if you end up borrowing more than the value of your home.

Is a Jumbo Reverse Mortgage Right For You?

If you own a high-value home in Newport Beach, a jumbo reverse mortgage might be the best option for you.

Beyond a nice cushion for your living expenses, a jumbo reverse mortgage can be an excellent tool to help build your retirement portfolio, providing a valuable safety net during times when investments are performing poorly.

In fact, the data shows that retirees who supplement other savings accounts with money drawn from a reverse mortgage are statistically less likely to run out of money as they age.

As with traditional reverse mortgages, you must be at least 62 years of age to apply. And you must keep your home insured and in good repair.

If you’re ready to explore the possibility of a reverse mortgage in Newport Beach, contact your Orange County reverse mortgage lender today. Angella Conrard CRMP and her team at C2 Reverse Mortgage are happy to provide their expertise as they guide you through the process. Call and learn more today! 949-267-3409