Research Shows High Levels of Consumer Satisfaction With Reverse Mortgages
NRMLA, the National Reverse Mortgage Lenders Association, last week published independent research showing high levels of satisfaction among seniors with reverse mortgages and equally positive numbers indicating borrowers understood the transaction they were getting into and felt no pressure getting a loan.
NRMLA President Peter Bell, along with pollster David Marttila, of Marttila Strategies, and David Tamasi, of Rasky Baerlein Strategic Communications, hosted a dinner for national media Wednesday evening to discuss the results. Representatives from The Washington Times, National Journal, U.S. News & World Report, Boston Globe, Bloomberg and The Hill attended the event.
Bell conducted additional interviews with The Wall Street Journal, Money Magazine and Dow Jones.
The study, “The Retirement Abyss: America's Seniors' Search for Security,” shows that almost 85 percent of senior citizens and their adult children are deeply pessimistic about the state of the economy and nearly 50 percent of senior citizens worry they will not have enough money to support themselves in retirement. One-in-four seniors believe they will not be able to cover their monthly expenses, such as housing and utilities, and nearly 20 percent believe that, without additional cash flow, they will have to give up their homes.
The poll, conducted by Marttila Strategies on behalf of NRMLA, surveyed 1,800 seniors and their adult children, nationwide, between October 16th and 30th. The survey has a margin of error of +/- 4 percent.
Approximately 74 percent of those reverse mortgage borrowers surveyed described their experience as positive choosing a rating of 7, 8, 9, or 10 out of 10 point scale with 10 signifying complete satisfaction. The survey revealed that seniors with reverse mortgages fully grasped the financial terms associated with the product, with 75 percent saying they understood the financial terms well or very well. Finally, 90 percent of all seniors who selected a reverse mortgage as a retirement security solution felt no sales pressure, and the same proportion indicated they were more than adequately informed about this financial product.