Boston, MA 09/30/2014 (wallstreetpr) – Bank of America Corp (NYSE:BAC) had to pay a huge price of misleading the public about mortgage-backed securities during 2007-08. It not only caused them huge losses, but also pushed the whole world in a recession. After the incident, people started avoiding mortgage and reverse mortgage concepts. Experts once thought that the popular concept like reverse mortgage wouldn’t last long, but a recent study has showed different results. According to the study, people can hate or like reverse mortgage, but they can’t simply ignore it.
Different Opinions of People:
Some of the people think that reverse mortgages can never be considered as the primary vehicles to transact while others think that it’s very easy to fool someone in the name of this concept. A few people who have burnt their fingers already think that reverse mortgages will never get a hype in a civilized society, where people are educated and aware of them. It’s easy for one to execute reverse mortgage transaction if he or she has good savings or investments in other safe securities. Situation can be different for someone who doesn’t have anything in the name of savings. Even after all these scenarios, the reverse mortgage concept has grown over the last couple of years.
Companies use celebrities to market this product for them. Their target audience are senior citizens who can easily be fooled if the companies can show them sentiments rather than numbers. Companies like Bank of America Corp (NYSE:BAC) have always supported this product in order to make huge profits. At the same time, changed lifestyle, and increased awareness has impacted senior citizens as well. Slowly their mindset is diverting towards reverse mortgages. They want to live happy and eventful life till their last breath without worrying about the situation that will arise after their death. The trend is likely to go up in coming years.