Moving Forward Older Americans Month Prompts Review of Strategic Imperatives We Can Help Our Older Americans Age Their Way By Steve Irwin, President, NRMLA “To me, ideas are worthless unless executed.” —Steve Jobs AS U.S. HOMEOWNERS continue to age and retire in greater and greater numbers, one thing is clear: those homeowners want to age their way, including aging in place. According to the research shared by the Department of Housing and Urban Development’s (HUD) Office of Policy Development and Research, supporting aging in place may realize significant cost savings for families, federal and state governments and the nation’s healthcare system. These studies also indicate that effective aging in place has health and emotional benefits over institutional care. While the notion of aging in place continues to build momentum, so, too, do the questions surrounding financing the retirement of an increasingly older population. As we can see from the research gathered by the Aspen Institute’s Financial Security Program: • Many new retirees can’t keep up with pre- retirement spending levels; • More of today’s retirees are dedicating cash flow to debt service, compared to previous generations; • Many on the cusp of retirement don’t know what their Social Security checks will contain; • Waiting to claim Social Security benefits provides a substantial financial advantage, but most retirees make poor decisions about when to make their claim; and • Spending in early retirement can be unpredictable. To help ameliorate the risks and concerns surrounding the ability of senior homeowners to age their way, it is critical that housing wealth is carefully and responsibly considered when developing a comprehensive retirement plan. For many, housing wealth is their greatest asset, and tapping that equity, under the right circumstances, will enable a secure path for aging. How then can the various reverse mortgage programs further enable homeowners to use their home equity responsibly? What are the primary barriers to broadening accessibility to reverse mortgage programs in ways that strengthen the Mutual Mortgage Insurance Fund and support HUD’s housing goals and the mission of the Home Equity Conversion Mortgage (HECM) program? How can we best broaden the efficient distribution of the HECM? These are but a few of the strategic imperatives that NRMLA and its board are carefully considering during Older Americans Month. Strategy development is only one part of the equation, however. The answers to the questions posed by these imperatives may require entirely new service packages. The solutions will necessarily need to be game-changing, relatively easy to implement, and they must absolutely align with any given administration’s goals. The execution will be so much more important than the bright ideas. This is a monumental task, but together, NRMLA’s leadership and its membership can properly identify what is achievable. We can help our older Americans age their way. Steve Irwin REVERSE MORTGAGE / MAY- JUNE 2022 5
RkJQdWJsaXNoZXIy MjQ1MzY1