Episode 190 - Busting Myths On Reverse Mortgages And Gray Divorce

This episode of The D Shift highlights the importance of knowing your options, particularly when going through a gray divorce. Mardi Winder-Adams is joined by Laura Phillips, a respected and seasoned reverse mortgage specialist. Together, they explore the realities and misconceptions surrounding reverse mortgages. Laura brings more than three decades of experience in mortgage lending, and her passion for helping older adults navigate this little-understood financial option is evident throughout the conversation.

Laura traces the origins of reverse mortgages to the Reagan era, clarifying that these products are government-regulated loans intended for homeowners aged 62 and older. She dismantles some of the most stubborn myths, like the fear that the government will take away your home or that a you can be left unprotected. Instead, Laura explains, homeowners retain full title, and the loan simply functions as a means to convert home equity into usable cash, either through lump sums, monthly payments, or lines of credit, all without the obligation of a monthly mortgage payment.

They share a practical comparison between reverse mortgages and traditional HELOCs, highlighting how reverse mortgages can be especially useful for those with limited income in retirement, offering flexibility without demanding repayment until the homeowner sells or moves out of the property. Laura also notes recent legislative changes that further protect borrowers, ensuring better safety if both spouses reside in the home.

The discussion extends to considerations for anyone looking to age in place, including the ability to use reverse mortgage funds to modify homes for accessibility or to pay for in-home care. Laura urges listeners to approach these decisions thoughtfully, consult professionals, and always disclose their circumstances honestly, especially when dealing with properties that have rental units or additional occupants.

This episode is a great resource for individuals contemplating their financial future after divorce, widowhood, or simply as part of their retirement planning. Laura’s expertise makes the sometimes-intimidating topic of reverse mortgages feel much more manageable and relevant for anyone seeking clear information on the subject.

About the Guest:

Laura Phillips is a Licensed Reverse Mortgage Specialist with a mission to guide people through the entire HECM/Reverse loan process, so they feel confident about the options available for their next 30-year financial strategy. From helping real estate professionals, customers, and financial advisers navigate home financing, she helps customers find mortgage solutions that work for them. 25+ years of experience in real estate lending have taught Laura that it is not just a person’s house; it’s their home, and it’s one of the most significant financial commitments a person will make in their life.

She helps people devise strategies to enjoy their best years in their family homes. Licensed in Colorado, Arizona, California, and Florida, Laura specializes in the standard FHA HECM and proprietary PortfolioJumbo Reverse loans. As a Broker, she works with several primary reverse lenders, providing loans to enhance a client's cash flow, preserving retirement assets, or purchasing a home that meets future needs. Married 35+ years, a mother of two amazing daughters, and a pet guardian of a rambunctious King Shepherd, a German Shepherd hybrid. Having hailed from many states, all west of the Mississippi and a couple of overseas homes, she gladly calls Colorado home.

To connect with Laura:

Website: https://lauraphillips.com/

Linkedin.com/in/laurawphillips

YouTube.com/@laurawphillips