7. Financial Issues:
How to plan for a low-income life-style.
You may be seeing lots of ads on prime-time TV these days about the benefits of “reverse mortgages.” In this episode KBOO interviews Rachel Mohlere, a leading specialist who feels that this type of arrangement may be a solution for some elders who are dealing with what she calls “the new longevity.” We also talk with a lawyer in Eugene, Chas Horner, who reviews the risks and potential pitfalls in this finance mechanism.
From a financial perspective, Is Portland a good place to retire/grow old?
How does one begin to answer that question, as a matter of personal finance?
Big three: food, medical, housing….close fourth is help/services/support, and transportation….
Cost of living/cost of services…inflation
Vehicle ownership is expensive---Is it necessary to own a car here?
Cash burn rate: what do you spend, what are your assets?
Is there a way to reduce expenses here, a way that is unique to Portland?
Do low-income people have access to financial planning? Do they need it?
YES…need to understand compound value…credit card costs, costs of payday loans, car loans.
Is there some way for low-income household to get reliable input to a financial question?
How do I use value in my house to improve the quality of my life as I age?
Housing is the biggest cost:
Should you own? Should you rent? Important decision….
What about home equity loans, reverse mortgages. (those are far more complex than most people think).