Same for Reverse Mortgage
According to the Reuters, we know that the sales of vacation and investment houses in the United States have slipped to the 30 percent of all transactions of existing and new homes in 2008. This is showing us how the economy has not yet recovered in full mode because we still can see many people don’t interest to invest money in real estate and property. They prefer to use bank to save their money because they think it is the safest place to invest right now in the middle of slipped stock market and unbelievable real estate prospect. So, these people choose the bank product with highest return such as certification of deposit (CD). They don’t mind about minimum return on investment rate which they will get. They prefer to choose the best cd rates than investing on stock exchange or property. The other reason of choosing CD is the guarantee which the saver can get from the fdic insurance for money below $100,000. This is a supporting factor for people to choose. The other interesting factor was from the capability of applying medicare insurance for their deposit. This is health and medical insurance. As long as people feel terrible with real estate then saving in bank is the best choice. With real estate decreasing, reverse mortgage get the same effect.