It isn’t all mortgage deductions — unless he changed the plan recently, but over a certain $ amount deductions — in other words the rich will be hit, doesn’t sound like you will be affected. I do, however, concur if you qualify (don’t owe more than the allowed amount for your age on your current home and live in an area that isn’t considered rural - where the allowed amount is much lower) check into a reverse mortgage.
well, we are not “rich”, but we have learned to live well on a reasonably modest income. The constantly changing tax rules over the years of self-employment have made us learn to live that way.
Every time we got a bit ahead, the tax rules changed, and this usually coincided with the downturns in our sector’s business cycle, and our out-go for our four children’s college education, etc. So savings got way too frequently depleted carrying us over the lean years, and we really got whacked when they stopped income averaging.
What we have done, defensively, is to constantly tighten our budget and constrain our spending. The reverse mortgage wouldn’t help us much because we built the smallest house you can imagine on a nice piece of relatively rural land.
My husband is a very talented architect, and designed it for our retirement. Very small footprint, energy-wise, and we can heat it with a wood-stove. We have our own well, and now qualify for “senior citizen” property taxes.
Because my husband’s term health insurance will no longer be an option when he turn 70 in September, I think we ought to pay off the mortgage, in the event of the inevitable. Since he has Parkinson’s, I will probably survive him, and not having to make a mortgage payment without the term life insurance available would make me feel much more secure.
But, you know how husbands are.
As they age and become less in control of their professional lives, they stop thinking about these “inevitables”. And, if we truly love them, we won’t remind them of that. We just worry in silence, and hope to find something in the news that “nudges” them in the right direction.
“It isn’t all mortgage deductions — unless he changed the plan recently, but over a certain $ amount deductions — in other words the rich will be hit, doesn’t sound like you will be affected. I do, however, concur if you qualify (don’t owe more than the allowed amount for your age on your current home and live in an area that isn’t considered rural - where the allowed amount is much lower) check into a reverse mortgage.”
If you find specifics on this, please Freep Mail me.
We have been looking a reverse mortgage, and my wife is concerned about the loss of our mortgage interest tax deduction if we go for the reverse mortgage.