Ways to use your house for extra income
People over 65 average $150,000 in home equity, according to the Center for Retirement Research at Boston College.
That amount dwarfs the rest of their assets combined.
This generation of retirees is facing the decline of traditional pensions, while the 401(k)s that replace them are less generous and more uncertain.
Reverse mortgages have had a poor reputation in the past, but a Federal Housing Authority home equity conversion mortgage is federally insured and comes with more protections.
Ignore any solicitations you may get, and reach out to the National Council on Aging at 1-800-510-0301 for phone-based counseling. Or check the home equity conversion mortgage pages at Hud.gov.
Rent out a room
For those who need a more flexible, short-term solution than the two big steps above, becoming a landlord or landlady may be right for you.
Maybe you can take on a roommate who provides companionship and mutual support as well as help with the mortgage. [See “Share your home like the Golden Girls did,” July 2015 Beacon.] Or do a trade if you need household help.
Are you an entrepreneurial type? Have you already retired to your piece of paradise, or are you blessed to be in a great metropolis?
Then you may want to look into a platform like Airbnb, which allows you to take in guests for as little as one night.
Have you pursued one of the following paths to earn income from your home? Any tips? Let me know and I may use your response in a future column.
© 2017 Anya Kamenetz. Distributed by Tribune Content Agency, LLC.
