17 March 2011
It’s interesting to note that from an economic standpoint Ranson says they don’t care which term people choose. “As a matter of fact, the spreads are almost the same in different terms”. (In 2010 HOMEQ’s average interest rate spread was about 3%).
Another important thing is that the first wave of baby boomers are turning 65 soon, so it’s quite possible reverse mortgages will become even more popular during the next 2-5 years.
About two million Canadians will retire within the next 60 months. And in many cases they will rely on their home equity.