My spouse and I are 60 and just retiring. Cash is especially important to us before taking SS at 70. At 62 I could get a reverse mortgage. I have an expensive home with high equity and a good sized mortgage. I would like to stay in my current home for 10 more years, longer than my cash will last. If I borrow I can stay longer. One way to borrow from my equity would be a reverse mortgage. I tried to model that by reducing the monthly payment on the mortgage to zero, but that was not allowed.
I currently have about $57K in mortgage. In about 4 years, I plan to take a reverse mortgage, using the proceeds to pay off the mortgage and then spending the remainder as needed. How should this be entered? I thought of just using special expenditures and special receipts, but that doesn't eliminate the monthly mortgage payment I have today. I also thought of using First Change in home by showing the sale and subsequent purchase of a new home with no loan. Please advise. Also, is there a way to model using a monthly payment from the reverse mortgage provider vs.