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Here’s a solution to beat rising costs.

Learn how your home equity could be a source for financial security.

How do rising costs impact seniors?

If you’re retired and living on a fixed income, any amount of inflation can eat away at your standard of living and undermine the financial foundation you’ve built for your retirement.

While Social Security beneficiaries received a 5.9% cost of living adjustment (COLA) in 2022, it was still no match for March 2022’s 8.5% year-over-year increase in consumer prices1 or the 14.5% increase in Medicare B premiums that kicked off the year.2

Clearly, older adults need new strategies and solutions to keep pace with inflation.

gas prices
beef prices
housing prices

Can a reverse mortgage help fight rising costs?

Of all the uses a reverse mortgage is suited for, helping older adults manage inflation is one to consider. A reverse mortgage loan could help replace lost purchasing power and restore balance to a budget or financial plan broadsided by a barrage of surging prices.

The strategic use of a reverse mortgage or line of credit could help you pay off higher-interest debt, preserve your investment portfolio, or delay taking Social Security, which adds about 8% to your benefit for each full year you wait until age 70.5

1 TED: The Economics Daily – Consumer prices up 8.5 percent for year ended March 2022.

2 CNBC – Medicare Part B premiums for 2022 jump by 14.5% from this year, far above the estimated rise in cost. Accessed on April 20, 2022.

3 U.S. Bureau of Labor Statistics – Mid-Atlantic Information Office. Accessed on April 20, 2022.

4 Bahney, Anna. CNN – Home prices hit another record high in March. 2022, Accessed on April 20, 2022.

5 Social Security – Delayed Retirement Credits. Accessed April 20, 2022.