While I agree that a reverse mortgage is not right for everyone, I also see evidence that only a small number of homeowners trust them or the potential opportunities they create. Not everyone uses them to pay off bills or help out a friend. I have recently had reverse mortgage clients use the proceeds of their loans to diversify into gold, annuities and bargain-priced real estate. Whatever the outcome of those investments may be, the one principle that I understand and respect that is being followed here is diversification.
While some may say that to borrower and invest is not right, others will use leverage from margin accounts or short selling which is also borrowing and investing and usually for the purposes of hedging or timing another investment opportunity.
Posted in 
Tags: 
