Yes, it's money and the fear of running out of funds in retirement
TORONTO, July 22, 2014 /CNW/ - Although retirement is meant to be a time to enjoy friends and family it's finances that typically derail what can be a special time – especially for women seniors.
That's because this segment of Canada's population was raised in a time when most men were expected to control the finances, explains Trevor Van Nest, Owner and Founder of York Region Money Coaches.
"And then, in their later years, many of these women find themselves having to take over the finances and they find that the options are endless and everyone in the industry seems to want a piece of their net worth. That's why we often see a 'deer in the headlights' look from women seniors when it comes to making sound financial choices. It's really not their fault," he adds.
The increase in life expectancy in Canada has also played a role in the concern around finances. In fact, according to Statistics Canada, women born in the mid 1950s are expected to live to 72.9 years old versus men who are expected to live to 67.6 years old on average.
That may be one reason the percentage of women applying for a reverse mortgage from HomEquity Bank has grown by 15% in the past decade. New single female clients are on average four years older than their single male counterparts when arranging a reverse mortgage.
However, women seniors approach HomEquity Bank for reverse mortgages for many reasons, ranging from much-needed repairs to the home and supplementing retirement income to dealing with unexpected debt which comes to light upon the death of their spouse, states Yvonne Ziomecki, SVP, HomEquity Bank.
And, older women facing difficult financial situations almost always want to remain in their homes. It's a top priority, she adds.
According to Van Nest, the best financial advice is tailored to individual women seniors and balances emotional, physical and monetary factors.
"For some, a reverse mortgage may work well. It provides the ability to access a portion of the home's value. However, the best advice is always tailored to the individual," he confirms.
How the CHIP reverse mortgage works:
- Visit www.chip.ca or call 1.877.503.2447 to determine the amount of money available, which is based on the homeowners' age and the location and type of home as well as the home's current appraised value.
- Access money as a one-time lump sum, as monthly payments or both – it's tailored to individual needs.
- Up to 50% of the home's value can be accessed and the money is tax free. Unlike a traditional loan, no payments are necessary until it's time to move or sell the home.
About HomEquity Bank
HomEquity Bank is a Schedule 1 Canadian Bank offering the CHIP reverse mortgage solution www.chip.ca. It was founded 28 years ago as an annuity based solution addressing the financial needs of Canadians who want to access the equity of their top asset – their home.
SOURCE: HomEquity Bank
For further information: For further information on the CHIP reverse mortgage please contact: Teresa Donia, iAMBIC Communications, [email protected], 905-508-5550; Yvonne Ziomecki, Senior Vice President, Marketing and Sales, HomEquity Bank, [email protected], 647-723-6812